Bill Text: MI SB1046 | 2025-2026 | 103rd Legislature | Introduced
Bill Title: Water supply: conservation; permit for water used for consumptive use purposes; provide for. Amends secs. 32705, 32708a, 32713 & 32723 of 1994 PA 451 (MCL 324.32705 et seq.) & adds sec. 32723a.
Sponsorship: Partisan Bill (Democrat 8)
Status: (Introduced) 2026-06-18 - Referred To Committee On Energy And Environment [SB1046 Detail]
Download: Michigan-2025-SB1046-Introduced.html
SENATE BILL NO. 1046
A bill to amend 1994 PA 451, entitled
"Natural resources and environmental protection act,"
by amending sections 32705, 32708a, 32713, and 32723 (MCL 324.32705, 324.32708a, 324.32713, and 324.32723), sections 32705 and 32723 as amended by 2008 PA 180, section 32708a as amended by 2008 PA 182, and section 32713 as amended by 2008 PA 186, and by adding section 32723a.
the people of the state of michigan enact:
Sec. 32705. (1) Except as otherwise provided in this section, the owner of real property who that intends to develop capacity on that property to make a new or increased large quantity withdrawal from the waters of this the state shall register the withdrawal with the department after using the assessment tool, if required under this part, and prior to before beginning that withdrawal. A registration under this section may be made using the online registration process.
(2) The following persons are not required to register under this section:
(a) Subject to subdivision (c), a person who that has previously registered for that property under this part or the owner of real property containing that contains the capacity to make a withdrawal that was previously requested under this part, unless the property owner develops new or increased withdrawal capacity on the property of an additional 100,000 gallons of water per day from the waters of the state.
(b) A community supply required to obtain a permit under the safe drinking water act, 1976 PA 399, MCL 325.1001 to 325.1023.
(c) A person required to obtain a permit under section 32723 or 32723a.
(d) The owner of a noncommercial well located on the following residential property:
(i) Single-family residential property unless that well is a lake augmentation well.
(ii) Multifamily residential property not exceeding 4 residential units and not more than 3 acres in size unless that well is a lake augmentation well.
(3) Subsection (1) does not limit a property owner's ability to withdraw water from a test well prior to before registration if the test well is constructed in association with the development of new or increased withdrawal capacity and used only to evaluate the development of new or increased withdrawal capacity.
(4) A registration under this section by the owner of a farm in which the withdrawal is intended for an agricultural purpose, including irrigation for an agricultural purpose, may be submitted to the department of agriculture and rural development instead of the department.
(5) A registration submitted under this section that is not submitted via the online registration process shall must be on a form provided by the department or the department of agriculture and rural development, as appropriate.
(6) In calculating To calculate the total amount of an existing or proposed withdrawal for the purpose of this section, a person shall combine all separate withdrawals that the person makes or proposes to make, whether or not these withdrawals are for a single purpose or are for related but separate purposes.
(7) The department shall aggregate information received by the this state related to large quantity withdrawal capacities within the this state and reported large quantity withdrawals in the this state.
(8) Unless a property owner develops the capacity to make the new or increased large quantity withdrawal within 18 months after the property owner registers under subsection (1), the registration is no longer valid.
Sec. 32708a. (1) Not later than March 31, 2009, the The department shall prepare, based upon on recommendations from representative trade associations, a set of generic water conservation measures that are applicable to all persons making that make large quantity withdrawals. The department shall post these the generic water conservation measures on its the department's website.
(2) Subject to subsection (3), each water user's sector may prepare and submit to the department water conservation measures that are applicable for water users within its sector. Upon On receipt of water conservation measures from a water user's sector, the department shall review the water conservation measures, and, if the department determines that those water conservation measures are appropriate for that sector, the department shall accept those water conservation measures. Upon On acceptance, the department shall post the water conservation measures on its the department's website, and those the water conservation measures shall supersede the generic water conservation measures prepared under subsection (1) for water users within that sector. If the department determines that the water conservation measures are not appropriate for the water user's sector, the department shall provide comments to the water user's sector and suggestions that would result in the department's acceptance of the water conservation measures. A water user's sector may resubmit water conservation measures in response to the department's comments and suggestions.
(3) Water The commission of agriculture and rural development shall develop and approve water conservation measures for agricultural purposes. shall be developed and approved by the commission of agriculture and shall The water conservation measures developed under this subsection must be updated annually as part of the process for review and update of generally accepted agricultural and management practices under the Michigan right to farm act, 1981 PA 93, MCL 286.471 to 286.474. Water conservation measures approved under this subsection shall must be posted on the department of agriculture's agriculture and rural development's website and shall must be forwarded to the department for posting on its the department's website.
(4) By April 1, 2010, the department shall report to the standing committees of the legislature with jurisdiction primarily related to natural resources and the environment on the status of the preparation and acceptance of water user sector conservation measures.
(4) (5) If the department receives a registration for a zone C withdrawal, the department shall notify all other registrants and permit holders whose withdrawals are from the same water source as the zone C withdrawal of the status of the water source. Upon On receipt of notification under this subsection, each of these registrants and permit holders shall review and consider implementing the applicable water conservation measures prepared under this section.
(5) (6) Compliance with water conservation measures does not authorize a water withdrawal that is otherwise prohibited by law.
(6) The department shall publish a report on the department's website that contains the following information:
(a) Beginning July 1, 2027, and by each July 1 thereafter, the total amount of water used by each data center in each public water supply's service area for the preceding calendar year. Not later than June 1, 2027, and by each June 1 thereafter, each public water supply shall submit to the department the total water usage data described in this subdivision.
(b) Beginning September 1, 2028, and by each September 1 thereafter, if a person is permitted under section 32723a, the amount of wastewater effluent and the priority pollutants present in the wastewater effluent, as identified in 40 CFR part 423, appendix A, generated in the preceding calendar year. Not later than July 1, 2028, and by each July 1 thereafter, each person that is permitted under section 32723a shall submit to the department the wastewater effluent information described in this subdivision. The department may conduct an inspection during normal business hours to ensure accurate reporting of the wastewater effluent information described in this subdivision.
(7) As used in this section:
(a) "Data center" means a facility that is designed and intended for housing, and does house, equipment to centralize the storage and processing of data.
(b) (a) "Permit holders" means persons holding that hold a permit under section 32723 and persons holding that hold a permit under the safe drinking water act, 1976 PA 399, MCL 325.1001 to 325.1023.
(c) (b) "Water conservation measures" means environmentally sound and economically feasible water conservation measures.
Sec. 32713. (1) The department may request the attorney general to commence a civil action for appropriate relief, including a permanent or temporary injunction, for a violation of this part or a rule promulgated under this part, including falsifying a record submitted under this part. An action under this section shall must be brought in the circuit court for the county of Ingham County or for the county in which the defendant is located, resides, or is doing business. The court has jurisdiction to restrain the violation and to require compliance.
(2) In addition to any other relief granted under subsection (1), the court may impose a civil fine as follows:
(a) For a person who that knowingly violates section 32721 or 32723 or the terms of a permit issued under section 32723, a civil fine of not more than $10,000.00 per day of violation.
(b) For a person that knowingly or unknowingly violates section 32723a or the terms of a permit issued under section 32723a, a civil fine as follows:
(i) For a first offense within a 6-month period, a civil fine of not more than $1,000.00.
(ii) For a second offense within a 6-month period, a civil fine of not more than $5,000.00.
(iii) For a third or subsequent offense within a 6-month period, the department may revoke the permit after notice and an opportunity for a hearing.
(c) (b) For all other violations of this part, a civil fine of not more than $1,000.00.
(3) In addition to a fine imposed under subsection (2), the attorney general may file a suit in a court of competent jurisdiction to recover the full value of the costs of surveillance and enforcement by the this state resulting from the violation.
Sec. 32723. (1) Except as provided in subsection (13), the following persons shall obtain a water withdrawal permit prior to before making the withdrawal:
(a) A person who that proposes to develop withdrawal capacity to make a new withdrawal of more than 2,000,000 gallons of water per day from the waters of the state to supply a common distribution system.
(b) A person who that proposes to develop increased withdrawal capacity beyond baseline capacity of more than 2,000,000 gallons of water per day from the waters of the state to supply a common distribution system.
(c) A person who that proposes to develop withdrawal capacity to make a new or increased large quantity withdrawal of more than 1,000,000 gallons of water per day from the waters of the state to supply a common distribution system that a site-specific review has determined is a zone C withdrawal.
(d) A person who that proposes to develop a new or increased withdrawal capacity that will result in an intrabasin transfer of more than 100,000 gallons per day average over any 90-day period.
(2) A person shall apply for a water withdrawal permit under this section by submitting an application to the department containing that contains the information described in section 32706c(1)(a) to (e) 32706c(1) and an evaluation of existing hydrological and hydrogeological conditions. If the applicant proposes to undertake a preventative measure along with the withdrawal, the property owner shall provide the department with a detailed description of the preventative measure and relevant information as to how the preventative measure will be implemented. In addition, the applicant shall submit an application fee in the amount of $2,000.00. The department shall transmit application fees collected under this section to the state treasurer to be credited to the water use protection fund created in section 32714.
(3) An application submitted under subsection (2) is considered to be administratively complete effective 30 days after it is received by the department receives the application, unless the department notifies the applicant, in writing, during this 30-day period, that the application is not administratively complete or that the application 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 written notice must 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 application fee, as applicable.
(4) The department shall provide public notification of its the receipt of applications an application under this section and shall provide a public comment period of not less than 45 days before applications are acted upon on under subsection (5).
(5) The Not later than 120 days after the department receives an administratively complete application, the department shall make a decision whether to grant or deny a water withdrawal permit under this section. within 120 days of receipt of an administratively complete application.
(6) The department shall issue a water withdrawal permit under subsection (1)(a), (b), or (c) 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 The department shall evaluate the cumulative adverse resource impacts under this subdivision shall be evaluated by the department based upon on available information gathered by the department.
(c) Subject to section 32726, the withdrawal will be implemented so as to ensure that it the withdrawal is in compliance with all applicable local, state, and federal laws, as well as and 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.this state.
(e) For permit applications received on or after January 1, 2009, the The applicant has self-certified that he or she the applicant is in compliance with environmentally sound and economically feasible water conservation measures developed by the applicable water user's sector under section 32708a or has self-certified that he or she the applicant is in compliance with environmentally sound and economically feasible water conservation measures developed for the water use associated with that specific withdrawal.
(f) The department determines that the proposed withdrawal will not violate public or private rights and limitations imposed by Michigan water law or other Michigan common law duties.
(7) The department shall issue a water withdrawal permit under subsection (1)(d) if the transfer complies with section 4.9 of the compact.
(8) In reviewing a proposed preventative measure, the department shall consider the effect of the preventative measure on preventing an adverse resource impact by diminishing the effect of the withdrawal on stream or river flow or the temperature regime of the stream or river. If the department approves a preventative measure in conjunction with a water withdrawal permit under this section, the department shall enter into a legally enforceable implementation schedule for completion of the preventative measure.
(9) A proposed use for which a water withdrawal permit is issued under this section shall be is considered to satisfy the requirements of section 4.11 of the compact.
(10) A permit issued under part 31 pursuant to in accordance with 33 USC 1326(b) shall be is considered sufficient to demonstrate that there will not be an adverse resource impact under section 32721 and satisfies the conditions for a water withdrawal permit under this section. Upon On receipt of an application under this section and evidence that the applicant holds a part 31 permit described in this subsection, the department shall grant the applicant a water withdrawal permit under this subsection.
(11) The department may revoke a water withdrawal permit issued under this section if the department determines following a hearing, based upon on clear and convincing scientific evidence, that the withdrawal is causing an adverse resource impact.
(12) A person who that is aggrieved by a determination of the department under this section related to a water withdrawal permit may file a sworn petition with the department setting that sets forth the grounds and reasons for the complaint and asking asks for a contested case hearing on the matter pursuant to in accordance with 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 water withdrawal 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 not later than 6 months after receiving the petition is received. 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.
(13) The following withdrawals persons are not required to obtain a water withdrawal permit under this section:
(a) A withdrawal by a community supply that holds a permit under the safe drinking water act, 1976 PA 399, MCL 325.1001 to 325.1023.
(b) Seasonal withdrawals A person that makes a seasonal withdrawal 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 unless the withdrawals result in a diversion.
(c) A person that makes a withdrawal for the production of bottled drinking water approved by the department under a water source review conducted under section 17 of the safe drinking water act, 1976 PA 399, MCL 325.1017.
(d) A person that is granted a permit under section 32723a.
Sec. 32723a. (1) Except as provided in subsection (12), beginning on July 1, 2027, a person that uses, or is expected to use, 550,000 gallons of water or more per day for consumptive use, based on a yearly average, shall comply with all of the following:
(a) Not withdraw from the waters of the state.
(b) Partner with a community supply that holds a permit under the safe drinking water act, 1976 PA 399, MCL 325.1001 to 325.1023, to supply the total amount of water per day that the person uses or is expected to use.
(c) Apply for a permit under this section.
(2) A person that uses or is expected to use 550,000 gallons of water or more per day for consumptive use, based on a yearly average, shall apply for a permit on a form and in a manner prescribed by the department. The person shall include all of the following with a permit application under this section:
(a) The following information related to the applicant's consumptive use of the water:
(i) The amount and rate of water to be used.
(ii) Whether the water use will be intermittent.
(b) Proof of compliance with the public hearing requirements provided under subsection (8), including, but not limited to, a copy of the public notices, affidavits of any location where notice was published, and evidence that the notice was published in an additional language other than English, if applicable.
(c) An application fee of $2,000.00.
(3) A permit application submitted under subsection (2) is considered administratively complete 30 days after the department receives the permit application unless the department notifies the applicant, in writing, during this 30-day period that the application is not administratively complete or that the application fee has not been paid. If the department determines that the permit application is not administratively complete, the written notice must specify the information necessary to make the permit 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 application fee, as applicable.
(4) After the department determines that an application is administratively complete, the department shall provide public notification of its receipt of the application and provide a public comment period of not less than 30 days before applications are acted on under subsection (5).
(5) The department shall approve or deny the permit application not later than 120 days after the public comment period under subsection (4) ends. The department shall grant the permit only if the department determines all of the following requirements are met:
(a) Water use effectiveness.
(b) Water availability and long-term sustainability.
(c) Infrastructure capacity.
(d) Minimized environmental impacts.
(6) If the department denies a permit application, the department shall notify the applicant of the denial within 10 days and state the reasons for the denial.
(7) A permit granted under this section is valid for 10 years from the date of issuance and is nontransferable.
(8) Not less than 60 days before a person submits an application for a permit under this section, the person shall complete not less than 3 public hearings and allow for public comment. Each public hearing must be held in the municipality in which the person will conduct the water use. Not less than 30 days before each public hearing held under this subsection, the person shall publish notice of the public hearing and a summary of the need for the permit on social media, the municipal or local government offices, and schools in the area within which the person applying for the permit plans to operate. At least 1 public hearing must be conducted on a Saturday or Sunday. At least 1 public hearing must be conducted at or after 5 p.m. At least 1 public hearing must be conducted at or before 12 p.m. At each public hearing, the person shall provide printed outreach materials, including a project description, site map, and projected water use amounts, that are published in English and in the second-most common language spoken in the community in which the person applying for the permit plans to operate.
(9) Not later than 7 days after the public hearings are completed under subsection (8), the person that submits an application for a permit under this section shall provide to the department a transcript of all the public comments received during the public hearings.
(10) A person that is granted a permit under this section shall not use more than 2,000,000 gallons of water per day for consumptive use.
(11) Not later than July 1, 2028, and by each July 1 thereafter, each community supply that partners with a person that is granted a permit under this section shall report to the department if that person uses more than 2,000,000 gallons of water per day for consumptive use.
(12) The following persons are not required to obtain a permit under this section:
(a) A person that uses water only for agricultural purposes.
(b) A community supply that holds a permit under the safe drinking water act, 1976 PA 399, MCL 325.1001 to 325.1023.
(13) The department may promulgate rules in accordance with the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, to implement this section.
(14) As used in this section, "water use effectiveness" means a calculation of a person's total water input divided by the person's total water consumption.
