PRINTER'S NO. 1073
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
868
Session of
2021
INTRODUCED BY MUTH, FONTANA, COLLETT, KEARNEY AND CAPPELLETTI,
SEPTEMBER 17, 2021
REFERRED TO ENVIRONMENTAL RESOURCES AND ENERGY,
SEPTEMBER 17, 2021
AN ACT
Providing for registration of extraordinary water users;
imposing a water resource fee; establishing the Water Use
Fund; and providing for submission of a question to the
electorate authorizing incurring of indebtedness for water-
related environmental initiatives.
TABLE OF CONTENTS
Chapter 1. Preliminary Provisions
Section 101. Short title.
Section 102. Definitions.
Section 103. Scope of act.
Chapter 3. Water Resource Protection
Section 301. Registration.
Section 302. Water resource fee.
Section 303. Distribution of water resource fees.
Chapter 5. Watershed Protection Bonds
Section 501. Authorization to incur indebtedness.
Section 502. Certification.
Section 503. Question to electorate.
Section 504. Referendum procedure.
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Section 505. Use of proceeds.
Chapter 7. Miscellaneous Provisions
Section 701. Regulations.
Section 702. Effective date.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
CHAPTER 1
PRELIMINARY PROVISIONS
Section 101. Short title.
This act shall be known and may be cited as the Pennsylvania
Water Resource Act.
Section 102. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Consume." Remove water from the waters of this Commonwealth
and not return the water to the natural source.
"Department." The Department of Environmental Protection of
the Commonwealth.
"Electric utility." A corporation, person, agency, authority
or other legal entity or instrumentality aligned with
distribution facilities for delivery of electric energy for use
primarily by the public.
"Electric utility generator." A generator:
(1) that is owned by an electric utility or a jointly
owned generator with the greatest share of the generator
being electric utility owned; or
(2) with two or more owners that have equal shares of
ownership in the generator if one of the owners is an
electric utility.
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"Extraordinary water user." A person that withdraws more
than 10,000 gallons of water per day from the waters of this
Commonwealth for the purpose of for-profit business. The term
does not include a community water system or a noncommunity
water system regulated by the department under the act of May 1,
1984 (P.L.206, No.43), known as the Pennsylvania Safe Drinking
Water Act, that withdraws water from the waters of this
Commonwealth.
"Fund." The Water Use Fund established under this act.
"Groundwater or surface water source." A river, stream,
brook, lake, body of water or aquifer located in this
Commonwealth.
"PENNVEST." The Pennsylvania Infrastructure Investment
Authority established under the act of March 1, 1988 (P.L.82,
No.16), known as the Pennsylvania Infrastructure Investment
Authority Act.
"Returned water." Water that has been placed back into the
waters of this Commonwealth, whether the water is diminished in
quality or not.
"Watersheds." The Susquehanna, Ohio, Delaware, Potomac,
Erie, Genesee, Elk and Gunpowder watersheds.
"Withdraw" or "withdrawal." The removal, diversion or taking
of water from a groundwater or surface water source.
Section 103. Scope of act.
This act applies to extraordinary nonmunicipal water
withdrawals by for-profit businesses.
CHAPTER 3
WATER RESOURCE PROTECTION
Section 301. Registration.
(a) General rule.--No extraordinary water user may withdraw
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water from a groundwater or surface water source for a
nonmunicipal purpose without filing a registration document with
the department.
(b) Registration document.--The registration document must
be submitted on a form prepared by the department and must
include the following information:
(1) The name and mailing address of the applicant.
(2) The name, if any, and location of the water source.
(3) The type of water source.
(4) The point in the water source from which the user
proposes to withdraw the water.
(5) The name, location and acreage of the lands or other
application for which the water is to be withdrawn.
(6) The location and description of the water well,
canal, tunnel or piping and other works or equipment through
which the water is to be withdrawn.
(7) The amount, in gallons, of water withdrawn on an
average day of operation during the preceding year and the
number of days during the preceding year when water was
withdrawn.
(8) The total amount, in gallons, of water estimated to
be withdrawn and the periods of time when the withdrawal is
scheduled during the current year.
(9) The location, means and expected condition of any
returned water.
Section 302. Water resource fee.
(a) Fee.--An extraordinary water user shall pay to the
Commonwealth the following fees:
(1) Except as provided in paragraph (3), for water
withdrawn and subsequently returned to the water source, a
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water resource fee of $0.0001 per gallon for water
withdrawals greater than 10,000 gallons per day for
nonmunicipal purposes.
(2) Except as provided in paragraph (3), for water
withdrawn and consumed, a water resource fee of $0.001 per
gallon for water consumption greater than 10,000 gallons per
day for nonmunicipal purposes.
(3) If the extraordinary water user is an electric
utility generator that withdraws or consumes water, a fee of
$1.00 per megawatt hour of electricity generated and sold.
(b) Water consumption calculation.--
(1) For purposes of calculating the fee under subsection
(a)(2), if the extraordinary water user:
(i) measures water use by meter, the difference
between the values of daily withdrawn water and daily
returned water shall be reported as the amount consumed;
or
(ii) does not measure metered, withdrawn and
returned water or, due to evaporation or method of use,
finds it impossible to accurately measure water consumed,
the amount consumed shall be based on the department's
consumptive use coefficients.
(2) The department shall determine which extraordinary
water users are subject to paragraph (1)(ii) and shall
develop coefficients for those extraordinary water users.
(c) Coordination with other fees.--The fees, if any, paid by
an extraordinary water user under the act of July 7, 1961
(P.L.518, No.268), known as the Delaware River Basin Compact,
and the act of July 17, 1968 (P.L.368, No.181), referred to as
the Susquehanna River Basin Compact Law, to the Delaware River
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Basin Commission or the Susquehanna River Basin Commission, at
the rates set on the effective date of this section, shall be
subtracted from fees owed under this section.
Section 303. Distribution of water resource fees.
(a) Establishment of Water Use Fund.--The Water Use Fund is
established in the State Treasury. The money of the fund is
appropriated on a continuing basis to the departments, in the
amounts and for the purposes specified in subsection (b).
(b) Funding source and distribution.--The fees collected
under section 302 shall be paid into the fund. The money of the
fund shall be used annually as follows:
(1) The amount of $30,000,000 to the department for
water-related programs and activities with any balance of
that amount for general government operations.
(2) The amount of $25,000,000 to the Department of
Conservation and Natural Resources for water-related programs
and activities with any balance of that amount for general
government operations.
(3) The amount of $11,000,000 to the Department of
Agriculture for water-related programs and activities with
any balance of that amount for general government operations.
(4) The amount of $5,000,000 to the Pennsylvania Fish
and Boat Commission for water-related programs and activities
with any balance of that amount for general government
operations.
(5) The balance of money in the fund to PENNVEST, which
shall distribute the remainder under section 505 or use the
balance to service the debt for any bonds issued under
Chapter 5.
CHAPTER 5
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WATERSHED PROTECTION BONDS
Section 501. Authorization to incur indebtedness.
Pursuant to the provisions of section 7(a)(3) of Article VIII
of the Constitution of Pennsylvania, PENNVEST may submit the
question of a bond issuance in the amount of up to
$3,000,000,000 for the protection of watersheds, water
resources, water environments, fresh water sources, the
furthering of water conservation and other water-related
environmental initiatives to the electors at the next election
in the year that PENNVEST decides to issue bonds.
Section 502. Certification.
The Secretary of the Commonwealth shall certify the question
to the county board of elections.
Section 503. Question to electorate.
The question under section 501 shall be in the following
form:
Do you favor authorizing the Commonwealth to incur an
indebtedness of up to $ , to be repaid using funds
generated under the act of (P.L. , No. ), known as the
Pennsylvania Water Resource Act, for the issuance of bonds
for the maintenance and protection of watersheds, water
resources, the furthering of water conservation and other
water-related environmental initiatives?
Section 504. Referendum procedure.
The referendum shall be conducted in accordance with the act
of June 3, 1937 (P.L.1333, No.320), known as the Pennsylvania
Election Code, except that:
(1) the requirements for advertising or notice related
to the question are waived;
(2) the requirements for a statement under section 201.1
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of the Pennsylvania Election Code are waived; and
(3) the authority of the Secretary of the Commonwealth
to determine the form of the question is abrogated.
Section 505. Use of proceeds.
Proceeds of borrowing authorized under this chapter shall be
used for the maintenance and the protection of watersheds, water
resources, water environments, fresh water sources, the
furthering of water conservation and other water-related
environmental initiatives and shall be allocated to watersheds
based on the percentage of fees generated under section 302 in
each watershed respectively. The bond must be used and paid for
proportionally to the proceeds generated by the fees collected
from water users.
CHAPTER 7
MISCELLANEOUS PROVISIONS
Section 701. Regulations.
The department shall promulgate rules and regulations as
needed to administer and enforce this act.
Section 702. Effective date.
This act shall take effect in 60 days.
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