Makes technical and organizational changes to GS 143-215.22G, setting forth the definitions applicable to Part 2A, Registration of Water Withdrawals and Transfers; Regulation of Surface Water Transfers, of Article 21, GS Chapter 143. Adds and defines major transfer as a new transfer between river basins greater than 30 million gallons per day, or a modification of an existing transfer that would increase the existing transfer more than 30 million gallons per day. 

Amends GS 143-215.22L, which regulates surface water transfers, as follows.

Adds to the information required in an applicant's notice of intent to file a petition for a certificate for a water transfer a preliminary description of alternatives to the transfer considered by the applicant that includes an estimate of the costs of those alternatives. Changes the hearing and public notice requirements as follows. Requires the Environmental Management Commission (Commission) to hold at least two public hearings at the applicant's expense where the applicant must provide information to interested parties and the public regarding the nature and size of the proposed transfer, and the Commission must receive public comment on the scope of the environmental documents. Requires one public meeting be held at each of the proposed upstream and downstream points of withdrawal of the source river basin (previously, applicants were required to hold at least three public meetings, including one in the receiving river basin). Requires the Commission to consult with the county board of commissioners of the source river basin to identify a sufficient venue for the meetings. Authorizes the applicant to hold additional public meetings. Adds to the required content of environmental impact statements prepared with respect to petitions for certificates for a major transfer, a demonstration that the petitioner, if the petitioner owns or operates a drinking water system, has a water loss ratio of less than 15%. Directs the Commission to specify by rule the form and manner for calculating and presenting the water loss ratio.

Adds to the required contents of a petition a description of the water conservation measures the applicant could implement to eliminate or reduce the need for the requested transfer. Requires the petition to include a description of any water sources in addition to those available at the time of the petition for a certificate (was, any potential water sources). Adds a new requirement for the petition to provide analyses concerning water treatment infrastructure to be constructed or employed or potential water sources that could be developed to eliminate or reduce the need for the requested transfer, as described.

Regarding the required findings in determining whether a certificate may be issued for the transfer, requires the Commission to consider the present and reasonable foreseeable future beneficial and detrimental effects on both the receiving and source river basins (was, the receiving basin only), and requires this finding to include specific findings as to whether drought mitigation and resiliency infrastructure improvements in the source basin are necessary to avoid detrimental impacts to affected communities in the source basin during droughts and other low-flow conditions. Authorizes the Commission to make funding for any mitigation and resiliency infrastructure improvements found necessary a condition of the certificate issued. With respect to major transfers, requires the Commission to consider and make findings of the extent to which the applicant has demonstrated the capacity to maintain the water loss ration in its water system at a level below 15% for the duration of the certificate, and to specifically find that the applicant submitted sufficient evidence at the time of the petition the applicant's water loss ratio is less than 15%.

Adds to the findings required for the Commission to grant a certificate for a water transfer that the applicant has established by a preponderance of the evidence that denying the certificate will result in the applicant incurring infrastructure costs that would result in a significant increase in utility rates (defined as falling within the highest 25% among all utilities in the State) and cause a financial hardship on the applicant. Establishes conditions and limitations for certificates granted for new or modified transfers that are major transfer: (1) that the term of the certificate is 20 years and cannot be renewed or extended; and (2) that the petitioner reserve at least 10% of gross revenues from its water and wastewater operations for the duration of the certificate to a fund used exclusively for the planning, permitting, and construction of water treatment facilities or other water or wastewater infrastructure in the source basin that will reduce the total transfer below 15 million gallons per day. Concerning modifications, excludes certificates issued for major transfers from those which are exempt from the environmental impact statement requirement. Makes conforming changes.