WATER AND WASTEWATER REGULATORY RELIEF ACT.

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View NCGA Bill Details2023-2024 Session
Senate Bill 673 (Public) Filed Thursday, April 6, 2023
AN ACT TO ALLOW ALTERNATIVE PEAK DAILY SEWAGE FLOW RATES FOR DESIGN RATE MODELING, TO PERMIT WASTEWATER TREATMENT SYSTEM EXPANSIONS BEYOND EXISTING ALLOCATION IN CERTAIN CIRCUMSTANCES, AND TO MAKE CLARIFICATIONS TO THE SYSTEM DEVELOPMENT FEE STATUTES.
Intro. by P. Newton, Sawrey, Lazzara.

Status: Ch. SL 2023-55 (Jun 23 2023)

SOG comments (1):

Long title change

Committee substitute to the 1st edition changed the long title. Original long title was AN ACT TO ALLOW ALTERNATIVE PEAK DAILY SEWAGE FLOW RATES FOR DESIGN RATE MODELING AND TO REFORM AND SIMPLIFY APPROVAL PROCEDURES FOR CERTAIN WATER TRANSFERS.

Bill History:

S 673/S.L. 2023-55

Bill Summaries:

  • Summary date: Jun 26 2023 - View Summary

    AN ACT TO ALLOW ALTERNATIVE PEAK DAILY SEWAGE FLOW RATES FOR DESIGN RATE MODELING, TO PERMIT WASTEWATER TREATMENT SYSTEM EXPANSIONS BEYOND EXISTING ALLOCATION IN CERTAIN CIRCUMSTANCES, AND TO MAKE CLARIFICATIONS TO THE SYSTEM DEVELOPMENT FEE STATUTES. SL 2023-55. Enacted June 23, 2023. Effective June 23, 2023, except as otherwise provided.


  • Summary date: May 2 2023 - View Summary

    Senate amendment to the 2nd edition makes the following changes. Amends GS 162A-201(9)f (definition of system development fee) to now specify that it includes a charge or fee paid by one local government unit to another local government unit for capacity in, or reserve capacity supplied by, capital improvements or facilities. (Prior edition did not specify the payee). Amends GS 162A-205(10) (prong of analysis for system development fee) to now specify that the analysis includes any purchased capacity in, or reserved capacity supplied by, capital improvements or facilities owned by another local government unit as part of the local government unit's overall capacity in capital improvements (in prior edition purchase and reserve were present tense). Makes clarifying changes to GS 162A-211(4) (use and administration of revenue).


  • Summary date: Apr 26 2023 - View Summary

    Senate committee substitute to the 1st edition makes the following changes.

    Section 1.

    Amends GS 143-215.1 as follows.

    In new subsection (f3), permits new dwelling units to calculate wastewater flows at 75 gallons per day per bedroom or a lower rate approved by the Department of Environmental Quality (DEQ). 

    In new subsection (f4), adds new subdivision (3), allowing approval of permits for facilities that exceed the 80% or 90% threshold from the previous subdivisions if additional flow in the facility is not predicted to exceed the facility’s hydraulic capacity, the facility is in compliance with all other limits and requirements, and adequate progress is being made in developing the required engineering evaluations or plans and specifications.

    In new subsection (f5), allows permittees for a wastewater system that have signed a contract for the expansion of the wastewater treatment, utilization, or disposal system located in a county with a projected growth rate above 2% annually or in one of the top 20% of the fastest growing counties statewide, and are meeting flow and pollutant discharge limits set out in its current permit, may allocate its system's permitted hydraulic capacity up to 110% and increase the allocation up to 115% if the expansion of the system is within 24 months of completion. A permittee may not allocate more than the permitted projected capacity after expansion without approval by DEQ. Nothing in the new subsection will be construed to limit DEQ from authorizing allocations over 115% of a system’s hydraulic capacity. 

    Section 2.

    Discards the 1st edition’s amendments to GS Chapter 143 and water transfer certification procedures. 

    Makes changes to GS Chapter 162A to clarify system development fees. Clarifies and restates the intent of existing law and applies to ordinances adopted before, on, or after the act's effective date. 

    Amends GS 162A-201(9) by amending the definition of system development fee by including recouping costs incurred by a local governmental unit to purchase new capacity in, or reserve capacity supplied by, a capital improvement or facility owned by another local government in the definition. 

    Amends GS 162A-205 to add new subdivision (10), which includes in the supporting analysis for a system development fee any purchase capacity in, or reserve capacity supplied by, improvements or facilities owned by another local government. 

    Amends GS 162A-211 to allow the expenditure of system development fees calculated using the incremental cost or marginal cost method, on contractual obligations to another local government for capacity in facilities owned by that local government.

    Amends the act's long title.


  • Summary date: Apr 13 2023 - View Summary

    Section 1

    Amends the provisions pertaining to local permit programs for sewer extension and reclaimed water utilization under GS 143-215.1 as follows. Permits new dwelling units, including units that have yet to be connected and for which they have allocated capacity, to calculate wastewater flows at 75 gallons per day per bedroom. Establishes the following requirements for sewer line extensions for wastewater treatment systems owned or operated by municipalities, counties, sanitary districts, or public utilities: (1) prior to actual flow exceeding 80% of the system's permitted hydraulic capacity, based on the average flow during the last calendar year, the permittee must submit an engineering evaluation with specified requirements concerning their future wastewater treatment, utilization, and disposal needs and (2) prior to actual flow exceeding 90% of the system's permitted hydraulic capacity based on the average flow during the last calendar year, the permittee must obtain all permits needed for the expansion of the system, and submit plans and a schedule for construction, if needed. Sets forth justification requirements that must be met if expansion is not proposed or proposed at a later date. Allows permittees for a wastewater system located in a county with a projected growth rate above 2% annually and operating in compliance with all pollutant discharge standards and not exceeding its 12-month average flow limitation to allocate its system's permitted hydraulic capacity, based on the average flow during the last calendar year, as follows: (1) up to 110% allocation upon signing a contract for the expansion of the wastewater treatment, utilization, or disposal system within 36 months and (2) up to 115% if the expansion of the wastewater treatment, utilization, or disposal system to increase the system capacity is within 24 months of completion.

    Section 2

    Revises the definition of river basin in GS 143-215.22G. Now defines the term to mean NC portion of the drainages included within the US Geologic Survey, with 17 listed basins with designated subbasins. Specifies that "river basin" includes any portion of the river basin that extends into another state; any area outside of the state that is not included in one of the listed river basins comprises a separate river basin. Eliminates the previously identified river basins as designated on the specified 1991 map. Adds new defined term subbasin. Amends defined term transfer to include subbasins. Makes organizational and technical changes.

    Expands upon the required information a person must provide upon registering a water withdrawal or transfer to the North Carolina Environmental Management Commission (Commission) to include a specification that for transfers of 2 million gallons of water or more per day, the registrant must submit a water balance for the water system with a 50-year planning horizon beginning with the current year, the name of the water system owning the pipe transferring water across the basin boundary, the daily raw water withdrawals or purchase amounts in million-gallons of water per day (MGD), the average daily or maximum daily wastewater discharge for each basin in MGD, the total water returned to the source basin, and the estimated water being transferred. Requires that the data used to determine the water balance align with the local water supply plan. Requires these same persons to submit an annual report on water withdrawals.

    Amends GS 143-215.22L (pertaining to regulation of surface water transfers) to change the certification requirements for interbasin transfers to require a certification for the following:

    (1) Initiate a transfer from 5 million gallons of water or more per day (currently, 2 million), calculated as a daily average of a calendar maximum month and not to exceed 7.5 million gallons per day in any one day (currently 3 million), from one river basin or one subbasin to another (currently just river basin).

    (2) Increase the amount of an existing transfer of water from one river basin or one subbasin (currently just river basin) to another by 25% or more above the  average daily amount transferred during the year ending July 1, 1993, if the total transfer including the increase is 7.5 million gallons or more per day (currently, 2 million).

    (3) Increase an existing transfer of water from one river basin to another by 2 million gallons of water per day, calculated as a daily average of a calendar maximum month and not to exceed 3 million gallons per day in any one day, above the amount approved by the Commission in a certificate issued before July 1, 1993. (Currently applies to all transfers of water without taking the amount transferred into account.)

    (4) Increase an existing transfer of water from one subbasin to another subbasin within the same river basin by 5 million gallons of water or more per day, calculated as a daily average of a calendar maximum month, with an increase of no more than 7.5 million gallons per day in any one day during any consecutive 10-year period.

    Adds to certificate exceptions by exempting tests of interconnections between parties to an interlocal mutual support agreement when all parties to the agreement request the transfer and the test complies with Secretary of Environmental Quality (Secretary) requirements. Deletes requirement for notice of intent to file a petition. Instead just requires an applicant to submit a notice of intent to initiate an environmental study. Amends contents for notice of interbasin transfer as well as requirements for the record the Commission prepares of responses to the proposed interbasin transfer. Makes technical changes. Allows the Commission to grant a certificate for a proposed transfer of water in whole or in part, or to deny the certificate. (Currently, can’t grant the certificate in part.) Requires holding at least one public hearing on the draft determination (was, at least two hearings held in specified areas). Adds two additional required determinations to the factors the Commission must consider in determining whether a certificate should be issued for a water transfer in its findings of fact: whether the application is materially and substantially in compliance with GS 143-215.22L and whether the applicant complied with the statute’s notice requirements. Amends the required finding needed to ultimately issue a certificate for transfer from a finding that the detriments have been mitigated to the maximum degree possible to a finding that the detriments will be mitigated in line with the principles underlying the statement of policy in GS 143-215.22L. Removes the requirement that an applicant proceeding under the alternate requirements for coastal counties file a notice of intent that includes a nontechnical description of the request and identification of the proposed water source. Establishes a subbasin transfer annual reporting requirement on subbasin to subbasin impact to the Department by August 1 for transfers of more than 5 million gallons of water or more per day, calculated as a daily average of a calendar month or more than 7.5 million gallons per day in any one day, without obtaining a certificate.  

    Makes conforming changes to account for newly expanded scope of transfer to include subbasins and for removal of required notice of intent to file a petition. Makes technical changes.

    Applies to any petition for a certificate for a transfer of surface water from one river basin or subbasin to another river basin or subbasin first made on or after the date the act becomes law.