14 | 13 | | A BILL TO BE ENTITLED 1 |
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15 | 14 | | AN ACT TO IMPOSE A MORATORIUM ON ISSUANCE OF CERTIFICATES FOR 2 |
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16 | 15 | | CERTAIN SURFACE WATER TRANSFERS . 3 |
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17 | 16 | | The General Assembly of North Carolina enacts: 4 |
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18 | 17 | | SECTION 1. Findings. – The General Assembly finds that the State's laws regulating 5 |
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19 | 18 | | surface water transfers, originally enacted more than 30 years ago, should be comprehensively 6 |
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20 | 19 | | reviewed and evaluated for updates in light of the State's tremendous economic and population 7 |
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21 | 20 | | growth and the impact of natural disasters on riverine and water reservoir systems over that 8 |
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22 | 21 | | period. In particular, the General Assembly finds that the approval of proposed transfers that are 9 |
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23 | 22 | | significant in terms of their size compared to the overall hydrologic flow, current and future water 10 |
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24 | 23 | | storage capacity, and cumulative water resources demands within the source river basin should 11 |
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25 | 24 | | be temporarily paused while this review and evaluation is ongoing. 12 |
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26 | 25 | | SECTION 2.(a) Study. – The North Carolina Collaboratory at the University of 13 |
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27 | 26 | | North Carolina at Chapel Hill (Collaboratory) shall study the current statutory process for 14 |
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28 | 27 | | approval of surface water transfers and provide any recommendations for legislation revising that 15 |
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29 | 28 | | process that the Collaboratory finds is needed. As part of its study, the Collaboratory shall review 16 |
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30 | 29 | | all of the following: 17 |
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31 | 30 | | (1) The adequacy of the requirements for an environmental impact study set forth 18 |
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32 | 31 | | in G.S. 143-215.22L(d) in ensuring that all impacts on upstream and 19 |
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33 | 32 | | downstream users of water in the river basin are comprehensively and 20 |
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34 | 33 | | equitably compiled and considered. 21 |
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35 | 34 | | (2) Whether the information on which the Environmental Management 22 |
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36 | 35 | | Commission (EMC) bases final certification decisions adequately takes into 23 |
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37 | 36 | | account (i) issues of economic equity for lower income and lower population 24 |
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38 | 37 | | communities in the source river basin that would experience potential impacts 25 |
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39 | 38 | | on future economic growth due to the proposed transfer, (ii) negative impacts 26 |
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40 | 39 | | of increases in water pollutant concentration caused by large surface water 27 |
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41 | 40 | | transfers on riverine ecosystems, and (iii) whether the denial of the surface 28 |
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42 | 41 | | transfer request would result in a substantial increase in utility rates or 29 |
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43 | 42 | | otherwise cause a financial hardship due to alternative infrastructure 30 |
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44 | 43 | | construction costs for the requesting party. 31 |
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45 | 44 | | (3) Changes to the process needed to reflect the impact of recent climate trends 32 |
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46 | 45 | | that impact the range of water flows in the State's mainstem rivers during 33 |
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47 | | - | periods of extreme heat, drought, or flooding events. 34 General Assembly Of North Carolina Session 2025 |
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48 | | - | Page 2 House Bill 850-First Edition |
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49 | | - | (4) How to build into the certification process incentives for parties requesting 1 |
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50 | | - | surface water transfers to implement land use, infrastructure, and drought 2 |
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51 | | - | resiliency policies that will reduce the size of transfers needed to meet future 3 |
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52 | | - | water demands. 4 |
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53 | | - | (5) Any other matters the Collaboratory deems relevant to its efforts to increase 5 |
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54 | | - | the fairness and effectiveness of the surface water transfer certification 6 |
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55 | | - | requirements. 7 |
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56 | | - | SECTION 2.(b) Consultation. – In conducting the study required by subsection (a) 8 |
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57 | | - | of this section, the Collaboratory will consult with the Army Corps of Engineers and other private 9 |
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58 | | - | or public entities with management responsibilities over water impoundments with respect to the 10 |
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59 | | - | impact of significant surface water transfers, as defined in Section 3 of this act, on those 11 |
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60 | | - | impoundments continuing to meet their present levels and future projected needs for 12 |
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61 | | - | hydroelectric power generation and water supply. 13 |
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62 | | - | SECTION 2.(c) Report. – The Collaboratory shall report its findings, together with 14 |
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63 | | - | any proposed legislation, to the 2027 General Assembly upon its convening. 15 |
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64 | | - | SECTION 3. Moratorium on Certain Surface Water Transfer Certificates. – In order 16 |
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65 | | - | to permit sufficient time for the General Assembly to complete the study described in Section 2 17 |
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66 | | - | of this act, the EMC shall not issue a certificate authorizing a significant new surface water 18 |
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67 | | - | transfer or a significant increase in an existing surface water transfer until the end of the 19 |
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68 | | - | moratorium provided in this section. The moratorium in this section shall end six months after 20 |
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69 | | - | the submission of the report required by Section 2(b) of this act. For purposes of this section, a 21 |
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70 | | - | proposed new or increased surface water transfer is significant if it would result in a total increase 22 |
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71 | | - | in transfer between river basins, as defined in G.S. 143-215.22G, in excess of 15,000,000 gallons 23 |
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72 | | - | per day. 24 |
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73 | | - | SECTION 4. This act is effective when it becomes law. 25 |
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| 46 | + | periods of extreme heat, drought, or flooding events. 34 |
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| 47 | + | (4) How to build into the certification process incentives for parties requesting 35 |
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| 48 | + | surface water transfers to implement land use, infrastructure, and drought 36 |
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| 49 | + | H.B. 850 |
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| 50 | + | Apr 9, 2025 |
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| 51 | + | HOUSE PRINCIPAL CLERK General Assembly Of North Carolina Session 2025 |
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| 52 | + | Page 2 DRH30355-MH-60B |
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| 53 | + | resiliency policies that will reduce the size of transfers needed to meet future 1 |
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| 54 | + | water demands. 2 |
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| 55 | + | (5) Any other matters the Collaboratory deems relevant to its efforts to increase 3 |
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| 56 | + | the fairness and effectiveness of the surface water transfer certification 4 |
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| 57 | + | requirements. 5 |
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| 58 | + | SECTION 2.(b) Consultation. – In conducting the study required by subsection (a) 6 |
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| 59 | + | of this section, the Collaboratory will consult with the Army Corps of Engineers and other private 7 |
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| 60 | + | or public entities with management responsibilities over water impoundments with respect to the 8 |
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| 61 | + | impact of significant surface water transfers, as defined in Section 3 of this act, on those 9 |
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| 62 | + | impoundments continuing to meet their present levels and future projected needs for 10 |
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| 63 | + | hydroelectric power generation and water supply. 11 |
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| 64 | + | SECTION 2.(c) Report. – The Collaboratory shall report its findings, together with 12 |
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| 65 | + | any proposed legislation, to the 2027 General Assembly upon its convening. 13 |
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| 66 | + | SECTION 3. Moratorium on Certain Surface Water Transfer Certificates. – In order 14 |
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| 67 | + | to permit sufficient time for the General Assembly to complete the study described in Section 2 15 |
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| 68 | + | of this act, the EMC shall not issue a certificate authorizing a significant new surface water 16 |
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| 69 | + | transfer or a significant increase in an existing surface water transfer until the end of the 17 |
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| 70 | + | moratorium provided in this section. The moratorium in this section shall end six months after 18 |
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| 71 | + | the submission of the report required by Section 2(b) of this act. For purposes of this section, a 19 |
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| 72 | + | proposed new or increased surface water transfer is significant if it would result in a total increase 20 |
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| 73 | + | in transfer between river basins, as defined in G.S. 143-215.22G, in excess of 15,000,000 gallons 21 |
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| 74 | + | per day. 22 |
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| 75 | + | SECTION 4. This act is effective when it becomes law. 23 |
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