Senate committee substitute makes the following changes to the 2nd edition.

Changes the act's long and short titles.

Eliminates the proposed directive requiring the Department of Health and Human Services (DHHS) to consult with the Secretaries' Science Advisory Board in developing health goals for contaminants. Instead, directs DHHS to consult with the following federal and state entities concerning DHHS's process for establishing health goals for per- and poly-fluoroalkyl substances: the US Environmental Protection Agency (EPA), the Centers for Disease Control and Prevention, the Agency for Toxic Substances and Disease Registry, and the North Carolina Policy Collaboratory at the University of North Carolina at Chapel Hill (Policy Collaboratory) in coordination with faculty experts across the UNC System. 

Adds a new directive requiring the Department of Environmental Quality (DEQ) to cooperate with any audit of its National Pollutant Discharge Elimination System (NPDES) permitting program by the EPA. Expressly directs DEQ to specifically work with the EPA to examine the adequacy of DEQ's NPDES permitting program in the event of an audit.

Modifies and adds to the previously proposed provisions concerning the review of the NPDES Permit Program. Specifies that DEQ is to review its NPDES permitting program from the date on which DEQ assumed authority to implement the program under delegation from the EPA pursuant to Section 402(b) of the Clean Water Act and 40 CFR Part 123, October 19, 1975, to the effective date of the act. Modifies and adds to the four permitting requirements and processes DEQ must examine (previously, specifically directed to examine the adequacy of the identified requirements and processes). Removes from the study the examination of monitoring, sampling, and laboratory analytical requirements applicable to persons holding current NPDES permits and persons applying for new NPDES permits. Adds to the study the examination of the time required to process all NPDES permit applications that are received by DEQ, including (1) the total processing time from when an initial permit application is received to permit issuance or denial and (2) the processing time from when a complete permitting application is received to permit issuance or denial. Additionally, modifies the previously proposed study components to now refer to emerging contaminants instead of emerging chemicals. Eliminates the requirement that DEQ submit an interim report. Instead, only requires DEQ to submit a final report that includes any steps DEQ plans to take to improve DEQ's implementation of the NPDES permitting program to the House Select Committee on North Carolina River Quality, the Senate Select Committee on North Carolina River Water Quality, and the Environmental Review Commission no later than June 1, 2018 (previously, final report was to be submitted no later than December 1, 2018). Additionally requires DEQ to include any information related to an audit of its NPDES permitting program by the EPA in the report.

Eliminates the directive requiring DEQ to study the statutory notification requirements for dischargers of untreated wastewater, untreated waste, and other substances to ensure that the requirements are sufficient to protect public health and provide adequate notice to DEQ and the public.

Eliminates the directive requiring the UNC School of Government to study the civil liability of public and private water utilities for the distribution of drinking water contaminated by a pollutant without any applicable established federal or state discharge standards.

Deletes the previous provisions concerning GenX funding and instead provides the following funding provisions. 

Establishes the finding that relevant faculty expertise, technology, and instrumentation, including mass spectrometers, existing throughout the UNC System should be made available for the analysis of water quality sampling with respect to the discharge of the poly-fluoroalkyl chemical known as GenX and other emerging contaminants, as well as for related research on improved water quality sampling and analysis techniques, data interpretation, and potential mitigation measures that may be necessary. Further establishes that repurposing existing funds to facilitate these activities is an efficient utilization of State funds and resources.

Directs the Policy Collaboratory to coordinate water quality sampling analysis related to GenX and other emerging contaminants in the most cost-effective manner using relevant faculty expertise , technology, and instrumentation, including mass spectrometers, existing throughout the UNC System, in the event the EPA no longer provides access to its analytical instrumentation at no cost to the State or if DEQ determines the analysis is not being performed in a sufficiently timely manner. Directs the Policy Collaboratory to consult with DEQ and the relevant experts in the UNC System to establish a protocol for the delivery of samples taken by DEQ to the entity designated to perform sample analyses, chain of custody protocols, and other matters to ensure proper handling and processing of the samples. 

Further directs the Policy Collaboratory to identify faculty expertise within the UNC System and use technology and instrumentation, including mass spectrometers, existing throughout the UNC System to: (1) develop quantitative models to predict which private wells are most at risk of contamination from the discharge known as GenX and other emerging contaminants and (2) test the performance of household water filters in removing the compounds. Permits the Policy Collaboratory to evaluate and conduct other research for improved water quality sampling and analyses techniques, data interpretation, and potential mitigation measures that may be necessary with respect to the discharge of GenX and other emerging contaminants, using relevant faculty expertise, technology and instrumentation existing throughout the UNC System.

For the above purposes, authorizes the Policy Collaboratory to use up to $1 million for the 2017-18 fiscal year and up to $1 million for the 2018-19 fiscal year of the funds appropriated for the 2016-17 fiscal year to the Office of State Budget and Management, Special Appropriations, and allocated to the Board of Trustees of the University of North Carolina at Chapel Hill for use as matching funds by the Collaboratory. Adds that the reallocated funds are to remain available for nonrecurring expenses. Clarifies that no match is required for funds reallocated by this act.

Eliminates the previously proposed appropriations to DEQ for the purpose of supporting sampling and analysis activities associated with discharges of GenX and other emerging contaminants, and the acquisition of analytic equipment for more timely and cost-effective evaluation of any threat to public health and safety resulting from discharges of GenX and other emerging contaminants. Instead, appropriates $2.4 million in nonrecurring funds for the 2017-18 fiscal year from the unappropriated balance remaining in the General Fund to DEQ to implement the act. Adds a requirement for DEQ to report no later than June 1, 2018, and quarterly thereafter, to the Joint Legislative Committee on Governmental Operations on how the appropriated funds will be and are being used. Makes conforming changes to Sections 2.1 and 2.2(a) of SL 2017-57, as amended. Adds that nonrecurring funds appropriated for the 2017-18 fiscal year are to remain available for nonrecurring expenses through June 30, 2019.