AB 504

This bill makes numerous changes to requirements for water supply service

area plans for public water supply systems.

Under current law, a person operating a public water supply system that serves

a population of 10,000 or more must have a plan, approved by the Department of

Natural Resources, that shows the proposed water supply service areas. The plan

must include other specified information, including identification of options for

supplying water that are cost-effective based upon a cost-effectiveness analysis of

regional and individual water supply and water conservation alternatives. Under

the bill, the approval of plans by DNR and the cost-effectiveness analysis are

required only for plans that involve withdrawals or diversions of water from the

Great Lakes basin that must be approved by DNR.

Current law requires a plan to include identification of procedures for

implementing and enforcing the plan and a commitment to using those procedures.

The bill eliminates this requirement and requires a plan to identify procedures for

implementing and updating the plan.

Under current law, if the area covered by a plan is within an area for which an

areawide water quality planning agency has been designated, the agency is

responsible for designating the proposed water supply service areas in the plan. The

bill eliminates this responsibility but retains current law authority for the agency to

provide regional water needs assessments and other regional water supply planning

information.

Under current law, DNR may not approve a plan unless the plan meets several

criteria, one of which is that the plan is consistent with any applicable approved

areawide water quality management plans. The bill eliminates this criterion.

Finally, the bill provides that a plan does not create, establish, or evidence an

obligation for any water utility to provide service to the service area delineated or

covered in the plan. The bill also prohibits the Public Service Commission from

requiring a water utility to extend or provide service to an area on the basis of the

provisions of a plan.