Florida Rural Water Association Legislative Report

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1 Florida Rural Water Association 2014 Legislative Report The Florida Legislature concluded its regular Legislative Session on Friday, May 2, 2014, successfully completing its lone constitutionally mandated job a balanced budget. The $77.1 billion state budget is the largest in state history, filled with increased dollars for schools, environmental programs, and stocked with hometown spending on social services, museums, theaters, and other government projects. What law makers failed to do was pass legislation. Fewer bills were filed and fewer bills passed in Only 264 bills passed in the 60 day Legislative Session, the fewest since That s 22% less than the 10 year average of 338 bills passed over the last decade. The Florida Rural Water Association (FRWA) agenda centered on two bills this Session, SB 1576 Springs and SB 272 Water Utilities. Both bills provided challenges and problems to FRWA. A great deal of time, energy and advocacy was provided for each; one bill passed SB 272 and one failed SB Additional time was spent on numerous other legislation filed and water projects in the state budget. We worked side by side with the Department of Environmental Protection and once again proved our worth on key items. Set forth below is legislation of interest to FRWA. Water Utilities SB 272 by Simpson PASS This bill creates a process for customers to petition the Florida Public Service Commission (PSC, FPSC, or commission) to require compliance with secondary water quality standards. If a utility fails to comply with commission orders, the process could result in revocation of the utility s certificate of authority. The bill provides petition criteria and factors the commission must consider in its review of the petition and the action it may take to dispose of the petition. The bill adds secondary water quality standards to the criteria that the PSC must consider when setting rates for water service. The bill provides guidelines for the secondary water quality standards. The bill authorizes the commission to deny all or part of a rate increase for a utility s system or part of a system if it determines that the quality of water service is less than satisfactory. The bill requires a utility to provide an estimate of the costs and benefits of plausible solutions for each concern that the commission finds, meet with the customers to discuss the costs and solutions, and periodically report on the progress of implementation. The commission may require the utility to resolve certain problems and require benchmarks and periodic progress reporting. The bill authorizes the commission to adopt rules to assess and enforce compliance with the secondary water standards and prescribe penalties for a utility s failure to adequately address each concern. The bill appropriates $212,521 in recurring funds and $12,012 in nonrecurring funds from the General Revenue Fund to the PSC and authorizes three full time equivalent positions for the fiscal year to implement the provisions in this act.

2 Springs Protection SB 1576 by Dean FAIL CS/CS/CS/SB 1576 provides for the protection of springs in Florida. Specifically, the bill: Creates Part VIII of ch. 373, F.S.; Provides findings, intent, and definitions; Directs the Department of Environmental Protection (DEP), in coordination with the water management districts (WMDs), to delineate spring protection and management zones (SPMZs); Requires the establishment of minimum flows and levels (MFLs) in Outstanding Florida Springs (OFSs)by July 1, 2022 and the adoption of recovery or prevention strategies under certain circumstances; Directs the DEP to make determinations of impairment for OFSs and develop basin management action plans (BMAPs); Provides requirements for BMAPs in SPMZs; Directs local governments within SPMZs to adopt ordinances that meet or exceed those of the Model Ordinance for Florida Friendly Fertilizer Use on Urban Landscapes; Requires upgrading certain domestic wastewater treatment plants and onsite sewage treatment and disposal systems (OSTDSs), and implementation of nutrient reduction and monitoring methods for agricultural operations; Directs the DEP to create a program to evaluate, select, and rank project proposals; Prohibits certain activities in SPMZs related to new municipal or industrial wastewater disposal systems, new OSTDSs, new hazardous waste facilities, land application of Class A and B biosolids, and new agricultural operations; Assigns duties to several agencies to carry out the provisions of Part VIII of ch. 373, F.S.; Provides extensions to local governments and rural areas of critical economic concern for completing projects; Requires the Department of Agriculture and Consumer Services (DACS) and the DEP to study new or revised basin management action plans (BMPs); and Requires a yearly report by the DEP and the WMDs on the progress of TMDL, BMAP, MFL, and recovery or prevention strategies, beginning on July 1, Based on the new springs program requirements, there is a significant fiscal impact to the DEP and the WMDs which is indeterminate. Funding to support the bill is to be provided in the Fiscal Year General Appropriations Act, or similar legislation. For subsequent fiscal years, funding will be determined annually by the Legislature and provided in the General Appropriations Act. See Section V. DACS will incur an indeterminate amount of costs for staff time and travel to participate in new studies and rule development efforts and an estimated $50,000 in costs to contract with a third party to complete a required report related to public health, engineering, public perception, fiscal, and rate structure issues. Reclaimed Water SB 536 by Simpson PASS CS/CS/SB 536 directs the Florida Department of Environmental Protection (DEP) in coordination with the Florida Department Agriculture and Consumer Services (DACS) and the five water management districts (WMDs) to conduct a study and submit a report on expanding the use of reclaimed water in

3 Florida, including stormwater and excess surface water. The bill specifies the elements the report must include. It directs the DEP and DACS to hold a minimum of two public meeting to gather input on the study design and allow the public to submit written comments on the report. Lastly, the bill requires the report to be submitted to the Governor, President of the Senate, and Speaker of the House of Representatives by December 1, If approved by the Governor, these provisions take effect July 1, Chemicals in Consumer Products SB 1180 by Sobel and Thompson FAIL SB 1180 creates s , F.S., to require the Department of Health (department) to generate a list of at least 50, but no more than 100 chemicals of high concern present in consumer products and publish the list on its website by January 1, If funds are not available, the department is authorized to cite lists developed by other states. The list would allow public identification of such chemicals, encourage substitution with safer alternatives, and reduce the exposure of pregnant women and children to chemicals of high concern. The bill authorizes the department to join in an interstate clearinghouse with other states and governmental entities to promote use of safer chemicals in consumer products. The effective date of the bill is July 1, 2014, and there is a fiscal impact. Department of Environmental Protection HB 7093 by Rooney PASS CS/HB 7093 passed the House on April 23, The bill was amended by the Senate on May 2, CS/HB 7093 as amended by the Senate was further amended by the House on May 2, The Senate concurred in the House amendment and subsequently passed the bill as amended on May 2, The bill makes several changes to the laws within the Department of Environmental Protection s (DEP s) jurisdiction. The bill repeals the Preapproval Program within DEP s Petroleum Restoration Program. Thus, DEP will no longer preapprove site rehabilitation work based on templated costs. Instead, the bill requires all site rehabilitation work to be competitively procured pursuant to chapter 287, F.S., or rules adopted by DEP. The bill requires DEP s rules to specify that only vendors who meet the minimum qualifications in current law may submit responses on a competitive solicitation or perform site rehabilitation work. In addition, competitive bidding for site rehabilitation projects is no longer exempt from the requirements of the Consultants Competitive Negotiation Act. Furthermore, the bill allows an applicant for the Advanced Cleanup program to use a commitment to pay or demonstration of a cost savings to meet the required cost share commitment when bundling 20 or more sites in a single contract. In addition, the bill expands the activities that qualify for a DEP issued area wide permit to include the construction of minor structures. The bill also adds dune restoration and on grade walkovers for accessibility or use in compliance with the Americans with Disabilities Act to the list of specific activities

4 or structures that are considered minor structures and special classes of activities. Furthermore, the bill authorizes DEP to grant a general permit for dune restoration, swimming pools associated with singlefamily habitable structures that do not advance the line of existing construction and satisfy all siting and design requirements, and for minor reconstruction for existing coastal armoring structures. The bill requires DEP to promote the public use of aquatic preserves, authorizes DEP to receive gifts and donations to carry out the purpose of the Florida Aquatic Preserves Act, and authorizes DEP to grant a privilege or concession for the accommodation of visitors to aquatic preserves and their associated state owned uplands if certain criteria are met. The bill also provides that after May 1, 2014, the Division of Parks and Recreation, within DEP, is prohibited from granting new concession agreements for the accommodation of visitors in a state park that provides beach access and contains less than 7,000 linear feet of shoreline if the type of concession is available within 1,500 feet of the park s boundaries. Lastly, the bill appropriates $1.5 million from the General Revenue Fund to DEP to be distributed to the Southwest Florida Water Management District to purchase property for the construction of a stormwater retention pond to mitigate flooding in Pasco County. Subject to the Governor s veto powers, the effective date of this bill is July 1, Establishing Minimum Water Flows and Levels for Water Bodies HB 7171 by Brodeur PASS HB 7171 passed the House on April 25, 2014, and subsequently passed the Senate on May 2, The Department of Environmental Protection (DEP) or the five water management districts (WMDs) are required to establish minimum flows for surface watercourses and minimum levels for groundwater and surface waters within each district. Minimum flow is the limit at which further water withdrawals from a given watercourse would significantly harm the water resources or ecology of the area. Minimum level is the level of groundwater in an aquifer or the level of a surface water body at which further withdrawals will significantly harm the water resources of the area. For water bodies that are below their minimum flows and levels (MFLs) or are projected to fall below them within 20 years, the WMDs are required to implement a recovery or prevention strategy, which includes the development of additional water supplies and other actions to achieve recovery to the established MFL as soon as practicable or prevent the existing MFL from falling below the established MFL. In June 2013, the Suwannee River Water Management District (SRWMD) governing board requested that DEP adopt MFLs it proposed for the Lower Santa Fe and Ichetucknee Rivers and associated priority springs due to the potential for cross basin mpacts origination outside of the SRWMD. On March 7, 2014, DEP proposed rules establishing an MFL and prevention and recovery strategy for the Lower Santa Fe and Ichetucknee Rivers and associated priority springs. On April 8, 2014, DEP published a Notice of Change modifying the proposed rules. The modified proposed rule is estimated to have an economic impact in excess of $1 million over 5 years. If an agency rule meets that economic threshold, current law requires legislative ratification of the rule before it can take effect. However, an agency rule may not be ratified by the Legislature until it has been adopted by the agency. Pursuant to the notice requirements in the Administrative Procedures Act, DEP will not be able to adopt the proposed rule until

5 at least 28 days after the day the rule was amended, which was April 8, In addition, a challenge filed in the Division of Administrative Hearings has delayed adoption of proposed Rule , F.A.C., by DEP, making the rule unavailable for ratification during the 2014 Regular Session. According to DEP, it is critical for the rule to take effect as soon as possible because delays could further exacerbate the condition of the rivers and their assorted springs. The bill exempts the proposed rule from the legislative ratification requirement. The bill expressly states that it serves no purpose other than exempting the rule from the ratification requirement and that it will not be codified in the Florida Statutes. The bill also requires DEP to publish, when the rules are adopted, a notice of the exemption from ratification. The bill does not appear to have a fiscal impact on state government. According to DEP s Statement of Estimated Regulatory Costs (SERC), implementation of the proposed rule being exempted from ratification in the bill will result in a negative fiscal impact of $300,000 on the SRWMD. The bill itself does not have a direct fiscal impact on the private sector; however, the substantive policy of the rule being exempted is expected to have an economic impact on the private sector. Those impacts are analyzed in DEP s SERC for the rule. In summary, the SERC estimates that the proposed rule will have a negative fiscal impact of $3 million over a five year timeframe on agricultural users that are required to eliminate or reduce the impact of new proposed withdrawal quantities on the MFLs. (See Fiscal Analysis Section). Subject to the Governor s veto powers, the effective date of this bill is July 1, FRWA Budget This year s budget included $88 million for local water projects, $225 million for state revolving funds and money for the removal of sand and grit from wastewater treatment plants statewide. Last year, many of the local projects fell victim to Governor Scott s veto pen, 2014 is an election year which may provide the boost needed to survive. We expect the Governor to act on the budget (HB 5001) by the end of May. 1668A GRANTS AND AIDS TO LOCAL GOVERNMENTS AND NONSTATE ENTITIES - FIXED CAPITAL OUTLAY GRANTS AND AIDS - WATER PROJECTS FROM GENERAL REVENUE FUND ,505,684 Funds in Specific Appropriation 1668A shall be allocated as follows: Altha Water System ,000 Archer Wastewater Collection, Treatment and Agriculture Reuse Project ,000 SECTION 5 - NATURAL RESOURCES/ENVIRONMENT/GROWTH MANAGEMENT/TRANSPORTATION Aventura NE 29 Place Stormwater System Retrofits ,000 Bal Harbour Village Sanitary Sewer System Improvements ,000 Bartow Water Reclamation Facility (WRF) Improvement for Regional Wastewater Treatment ,000 Bay County Metered Water Improvements... 90,651 Bay County North Bay Wastewater Collection System Improvements... 1,000,000

6 Bay County Road 388 Force Main... 1,000,000 Belle Glade NW Avenue H Storm Water Improvements ,000 Blountstown River Park/Environmental Clean-Up... 75,000 Blountstown Wastewater Improvements and Expansion ,000 Bonita Springs Filter Marsh and Wet Detention Pond - Felts Ave at Ragsdale Street ,000 Branford Wastewater Treatment Plant ,000 Brevard County Source Reduction and Legacy Load Remediation of Muck in the Indian River Lagoon ,000 Bushnell Sumterville Water Plant Modification ,000 Cambridge Canal Stormwater Improvements Phase II ,500 Cape Coral Reclaimed Water Transmission Main Caloosahatchee River Crossing Project ,135 Cedar Key Water and Sewer District Water Treatment Plant ,000 Century Fannie/Campbell Road Waterline Improvements ,134 Charlotte Harbor East and West Spring Lakes Revitalize Impaired Waters ,000 Chipley Impaired Waterbody... 1,500,000 Clearwater Sanitary Sewer Expansion Program ,000 Cocoa Beach Minutemen Corridor Stormwater Improvements ,000 Coconut Creek Lift Station Rehabilitation Project ,000 Coconut Creek Sewer Manhole Rehabilitation... 75,000 Coconut Creek Sewer Pipe Rehabilitation Project... 50,000 Cooper City Replacement of Asbestos-Cement Water Mains ,800 Coral Gables Canal ,000 Coral Gables Comprehensive I&I Program ,000 Coral Springs Stormwater Improvement ,000 Crestview Reclaimed Water Implementation Plan... 30,000 Cutler Bay Academy of the Advanced Studies, Centennial Campus Drainage Improvement Project (SW 212th Street) ,000 Dade City Hydrant and Valve Replacement ,000 Dade City Orange Valley Well ,900 Defuniak Springs Water Main Replacement ,498 Deltona Brackish Water Test ,000 DeSoto County State Road 35 (US 17) Water System Extension.. 700,000 Destin West Destin Water Supply Analysis... 40,000 Doral Stormwater Improvements ,000 East Orange County Quantity / Quality Upgrade ,000 EGRET Marsh Stormwater Park Harvest Screen Upgrade ,000 Emory Avenue Stormwater Pond ,000 Florida City Farmers Market Alternative Water Supply Project 231,380 Fort Lauderdale Dredging Maintenance ,000 Fort Lauderdale Southeast Neighborhood Tidal Valve and Stormwater Upgrade ,000 Freeport Water System Upgrades and Expansions ,147 Freeport Water System US 331 North tie-in to Defuniak Springs System...1,165,198 Frostproof Water System Interconnect... 1,000,000 Ft. Island Trail Sewer Expansion Ph ,000 Glades County Stormwater Improvements ,000 Gulfport 49th Street Stormwater Retrofit Project ,000 Halifax River Subaqueous Sewer Force Main Project ,000 Hallandale Beach Three Island Reuse Irrigation ,000 Hardee Co. Regional Wastewater Service Improvmnts - Phase 3A 250,000 Hardee Co. Regional Wastewater Service Improvmnts - Phase 3B 250,000 Hardee Co. Regional Wastewater Service Improvmnts - Phase 3C 250,000 Hendry County Central County Water Control District Reservoir Levee Constructions ,000 Hilliard Sewer Rehabilitation ,000 Hillsborough County Cypress Street Outfall ,000 Hosford Water Systems... 75,000 Indian River Lagoon Oyster Restoration Project ,000

7 Jacksonville Alternative Water Supply ,000 Key Biscayne Outfall Improvement Project ,000 Lake Pippin Area Sanitary Improvements... 2,000,000 Lake Toho Restoration Initiative... 1,000,000 Lakeview Mobile Home Park Stormwater Pump... 25,000 Lantern Park Stormwater Protection ,000 Lauderdale Lakes Canal System Conveyance and Water Quality Improvements Phase IV ,000 Lauderhill Floridian Wells Installation ,000 Lee County Alico Road Phase II Force Main ,250 Lee County Nalle Grade Stormwater Park ,000 Lee County Spanish Creek Restoration ,000 Leon County Robinson Road Flood Relief ,000 Leon County Septic to Sewer Project... 75,000 Little Egypt Septic to Sewer Conversion Project ,000 Loxahatchee River Preservation Initiative Projects... 2,076,718 Macclenny Sewer System Replacement... 1,000,000 Manatee County Southwest Water Reclamation Facility Class V Recharge Well... 1,000,000 Margate Sewer Piping Rehabilitation Project ,000 Marianna Pennsylvania Avenue Water Main ,000 Marion County Baseline Road Water Main Relocation... 1,000,000 Mayo Stormwater Assessment Plan... 75,000 Mexico Beach Alternate Water Supply Project... 1,592,309 Miami (West) Updates Aged Water System ,000 Miami Beach Force Main ,000 Miami Dade SW 157th Avenue Canal ,000 Miami Gardens Neighborhood Stormwater Swale Re-grading Project... 10,000 Miami Gardens NW 195/204 Stormwater Drainage Project... 75,000 Miami Gardens Vista Verde Stormwater Drainage Project - Phase # ,000 Miami Lakes Canal Bank Stabilization Project... 1,000,000 Miami River Commission ,000 Miami Wagner Creek / Seybold Canal Restoration Project ,000 Midway Sewer Project... 75,000 Miramar Historic Drainage System Improvement Project ,000 Monticello Water Tower Rehabilitation ,000 Moore Haven Stormwater Conveyance and Improvements ,000 Mossy Head Wastewater Treatment Project... 4,400,000 Nassau County Thomas Creek Flooding Assistance ,000 Niceville Reclaimed Water System Flowmeters... 26,000 North Bay Village Storm Water Quality Improvements ,000 North Miami Beach 163rd Street Business District Sewering ,500 North Miami Gravity Sanitary Sewer Improvement ,000 Oakland Wastewater System ,000 Ocala Water Reclamation Facility #2 Nitrogen Removal ,000 Okaloosa Island Water Supply Project ,000 Okaloosa Island/Wright Area Gravity Sewer Rehabilitation ,000 Okeechobee County East-West Conveyance Flowway Water Quality and Water Quantity Project ,000 Okeechobee Stormwater Conveyance / Retrofit and Water Quality Project ,000 Opa-locka Cairo Lane - NW 135 Street To NW 127th Street Canal ,000 Opa-locka NW 127th Street - Cairo Lane To NW 32 Avenue ,000 Orlando Nutrient Treatment Enhancement at the Conserv II WRF 400,000 Palm Bay Bayfront Stormwater Improvements - Indian River Lagoon ,000 Palm Beach County - Lake Regional Infrastructure Improvement Projects... 1,000,000 Palm Coast Concentrate Treatment Project ,000 Palm River Water and Sewer Expansion ,000

8 Palmetto Bay Sub-Basin 10 Drainage Improvements ,000 Palmona Park Water Quality Improvement Project ,000 Park Boulevard II - Pond Improvements... 87,500 Pasadena Place (PYCC) Culvert Replacement and Outfall Structure ,000 Pasco County Duck Slough Drainage Basin ,000 Pasco County Lacoochee/Trilby Water System Improvements ,000 Pasco County Pithlachascotee-Anclote Conservation Effort (PACE)... 1,000,000 Peace River Facility Treatment Capacity Expansion - Phase I. 1,500,000 Pembroke Park SW 31 Avenue Drainage Project ,000 Pompano Beach Reuse/Reclaimed Water System Expansion to Serve NE Pompano Beach ,000 Port Orange Cambridge Canal Stormwater Improvement Project.. 650,000 Punta Gorda Reverse Osmosis Water Treatment Plant and Brackish Groundwater Supply Project ,000 Putnam County Centralized Wastewater System ,000 Riviera Beach Avenue O Stormwater Easement Extensions ,000 Riviera Beach West 18th Street - West 22nd Street Stormwater Improvement ,000 Riviera Beach West 6th Street Improvements ,000 Rockledge Septic Tanks Elimination ,000 Royal Palm Beach Comprehensive Stormwater Management Program 250,000 Sanford Alternative Water Supply project ,000 Sanford Nutrient Reduction at Lake Jessup and Land Monroe Watersheds ,000 Sarasota County Dona Bay Ecosystem Restoration Project ,000 Sarasota County Study of Warm Mineral Spring... 50,000 South Lake Regional Water Initiative ,000 Southwest Ranches Interconnect Drainage ,446 Spring Lake Improvement District STA ,000 St Johns River ,493 St Johns River Study - Marine Science Resource Institute Jacksonville University ,000 St. Lucie River and Indian River Lagoon Issues Team... 2,076,718 Sunny Isles Beach 174th Street Drainage & Improvements ,000 Sunrise C-51 Reservoir Water Supply Expansion ,000 Surfside Emergency Seawall... 37,500 SW 54th Place Drainage... 75,000 Tallahassee 4th Avenue Drainage Improvements ,000 Tallahassee Red Arrow Abatement Project ,000 Tamarac 57th Street Stormwater Project ,000 Tampa Bay Water Authority Cypress Creek Wellfield Surface Water Improvements project ,500 Tampa Bay Watrous Canal Rehabilitation ,000 Tavares Stormwater Collection System ,000 Taylor County Wastewater Project - Steinhatchee Septic Tank Elimination ,000 Titusville Draa Field Water Quality Improvements - Indian River Lagoon ,000 Town of Medley Flood Mitigation Area South ,000 Tumblin Creek Regional Stormwater Treatment Facility ,357 Twin Lakes Drainage Project ,000 Umatilla City Wide Water Main Replacement... 4,000,000 Umatilla Lake Yale Stormwater and Alternative Water Supply Project ,000 Umatilla Main Water Treatment Plant Upgrade ,050 US 1 Dredging Project ,000 Virginia Gardens Stormwater ADA Improvement 40th Street ,000 Walton County Coastal Dunes Lakes Culvert - Replacement and Environmental Management Plan ,000 Wauchula Water Line Replacement - S 1st Ave, Green, MLK & Summit Area ,000

9 Wauchula Water Line Replacement - S 7th, W Main, Florida & Louisiana ,000 West Lakes Drainage Improvements Phase II ,000 West Park Preparation of Retention Pond for Redevelopment ,000 West Park SW 40th Ave Drainage and Infrastructure Improvements ,000 Winter Haven Aquifer Recharge / LID Project... 60,000 Winter Park Mead Garden (Lake Lillian) Restoration Project.. 400,000 Zephyrhills Fire Protection Water Line... 1,200, GRANTS AND AIDS TO LOCAL GOVERNMENTS AND NONSTATE ENTITIES - FIXED CAPITAL OUTLAY DRINKING WATER FACILITY CONSTRUCTION - STATE REVOLVING LOAN FROM GENERAL REVENUE FUND ,137,200 FROM DRINKING WATER REVOLVING LOAN TRUST FUND ,057, GRANTS AND AIDS TO LOCAL GOVERNMENTS AND NONSTATE ENTITIES - FIXED CAPITAL OUTLAY WASTEWATER TREATMENT FACILITY CONSTRUCTION FROM GENERAL REVENUE FUND ,378,080 FROM WASTEWATER TREATMENT AND STORMWATER MANAGEMENT REVOLVING LOAN TRUST FUND ,180, GRANTS AND AIDS TO LOCAL GOVERNMENTS AND NONSTATE ENTITIES - FIXED CAPITAL OUTLAY SMALL COUNTY WASTEWATER TREATMENT GRANTS FROM FEDERAL GRANTS TRUST FUND... 21,000,000 From the funds in Specific Appropriation 1673, $500,000 is provided to publically owned utilities in rural counties to remove sand and grit from wastewater treatment plants that must remain in operation in order to avoid the discharge of untreated wastewater. The department shall coordinate with the Florida Rural Water Association in the selection and administration of projects. Funds shall be distributed on a first-come, first-serve basis and require a local match of up to 50 percent.

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