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S.24 1
Introduced by Senator Chittenden 2
Referred to Committee on 3
Date: 4
Subject: Conservation and development; water quality; stormwater; three-acre 5
permit 6
Statement of purpose of bill as introduced: This bill proposes to amend 7
requirements related to the permitting of stormwater systems in the State. The 8
bill would extend the deadline by which owners of impervious surface subject 9
to the three-acre impervious surface permit must complete permitting. The bill 10
also would allow municipalities that assume full legal responsibility for a 11
stormwater system to assess municipal impact fees on users of the stormwater 12
system. In addition, the bill extends from July 1, 2027 to July 1, 2036 the 13
assessment of the 0.22 percent clean water surcharge on the property transfer 14
tax. The bill also would establish the Local Community Implementation 15
Special Fund to provide grants to municipalities to assist in the stormwater 16
permitting of residential subdivisions or orphan systems in the State. 17
An act relating to stormwater management 18
It is hereby enacted by the General Assembly of the State of Vermont: 19
Sec. 1. 10 V.S.A. § 1264 is amended to read: 20 BILL AS INTRODUCED S.24
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§ 1264. STORMWATER MANAGEMENT 1
* * * 2
(b) Definitions. As used in this section: 3
* * * 4
(2) “Development” means the construction of impervious surface on a 5
tract or tracts of land where no impervious surface previously existed. 6
(3) “Expansion” and “the expanded portion of an existing discharge” 7
mean an increase or addition of impervious surface, such that the total resulting 8
impervious area is greater than the minimum regulatory threshold. 9
* * * 10
(6) “Impervious surface” means those manmade surfaces, including 11
paved and unpaved roads, parking areas, roofs, driveways, and walkways, from 12
which precipitation runs off rather than infiltrates. 13
* * * 14
(10) “Regulated stormwater runoff” means precipitation, snowmelt, and 15
the material dissolved or suspended in precipitation and snowmelt that runs off 16
impervious surfaces and discharges into surface waters or into groundwater via 17
infiltration. 18
(11) “Stormwater impact fee” means the monetary charge assessed to a 19
permit applicant for the discharge of regulated stormwater runoff in order to 20
mitigate impacts that the discharger is unable to control through on-site 21 BILL AS INTRODUCED S.24
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treatment or completion of an offset on a site owned or controlled by the 1
permit applicant. 2
(12) “Stormwater-impaired water” means a State water that the 3
Secretary determines is significantly impaired by discharges of regulated 4
stormwater runoff. 5
(13) “Stormwater Management Manual” means the Agency of Natural 6
Resources’ Stormwater Management Manual, as adopted and amended by rule. 7
(14) “Stormwater runoff” means precipitation and snowmelt that does 8
not infiltrate into the soil, including material dissolved or suspended in it, but 9
does not include discharges from undisturbed natural terrain or wastes from 10
combined sewer overflows. 11
(15) “Stormwater system” includes the storm sewers; outfall sewers; 12
surface drains; manmade wetlands; channels; ditches; wet and dry bottom 13
basins; rain gardens; and other control equipment necessary and appurtenant to 14
the collection, transportation, conveyance, pumping, treatment, disposal, and 15
discharge of regulated stormwater runoff. 16
(16) “Total maximum daily load” (TMDL) means the calculations and 17
plan for meeting water quality standards approved by the U.S. Environmental 18
Protection Agency (EPA) and prepared pursuant to 33 U.S.C. § 1313(d) and 19
federal regulations adopted under that law. 20
* * * 21 BILL AS INTRODUCED S.24
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(c) Prohibitions. 1
(1) A person shall not commence the construction or redevelopment of 2
one-half of an acre or more of impervious surface without first obtaining a 3
permit from the Secretary. 4
* * * 5
(7) In accordance with the schedule established under subdivision (g)(3) 6
of this section, a person shall not discharge stormwater from impervious 7
surface located within the Lake Champlain watershed or the Lake 8
Memphremagog watershed of three or more acres in size without first 9
obtaining an individual permit or coverage under a general permit issued under 10
this section if the discharge was never previously permitted or was permitted 11
under an individual permit or general permit that did not incorporate the 12
requirements of the 2002 Stormwater Management Manual or any 13
subsequently adopted Stormwater Management Manual. 14
(d) Exemptions. 15
* * * 16
(2) No permit is required under subdivision (c)(1), (5), or (7) of this 17
section and for which a municipality has assumed full legal responsibility as 18
part of a permit issued to the municipality by the Secretary. As used in this 19
subdivision, “full legal responsibility” means legal control of the stormwater 20
system, including a legal right to access the stormwater system, a legal duty to 21 BILL AS INTRODUCED S.24
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properly maintain the stormwater system, and a legal duty to repair and replace 1
the stormwater system when it no longer adequately protects waters of the 2
State. When a municipality assumes full legal responsibility for a stormwater 3
system, the municipality may assess municipal impact fees on users of the 4
stormwater system provided that the impact fee assessed is a fair 5
apportionment to the user of the cost of the improvement in accordance with 6
the benefits the user received. 7
* * * 8
(f) Rulemaking. On or before December 31, 2017, the Secretary shall 9
adopt rules to manage stormwater runoff. At a minimum, the rules shall: 10
* * * 11
(7) Allow municipal governments to assume the full legal responsibility 12
for a stormwater system permitted under these rules as a part of a permit issued 13
by the Secretary, including authority of municipalities to assess municipal 14
impact fees on users of a stormwater system for which the municipal 15
government has assumed full responsibility. 16
(8) Include standards with respect to the use of offsets and stormwater 17
impact fees. 18
* * * 19
(g) General permits. 20 BILL AS INTRODUCED S.24
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(1) The Secretary may issue general permits for classes of stormwater 1
runoff that shall be adopted and administered in accordance with the provisions 2
of subsection 1263(b) of this title. 3
* * * 4
(3) Within 120 days after the adoption by the Secretary of the rules 5
required under subsection (f) of this section, the Secretary shall issue a general 6
permit under this section for discharges of stormwater from impervious surface 7
of three or more acres in size, when the stormwater discharge previously was 8
not permitted or was permitted under an individual permit or general permit 9
that did not incorporate the requirements of the 2002 Stormwater Management 10
Manual or any subsequently adopted Stormwater Management Manual. Under 11
the general permit, the Secretary shall: 12
(A) Establish a schedule for implementation of the general permit by 13
geographic area of the State. The schedule shall establish the date by which an 14
owner of impervious surface shall apply for coverage under this subdivision 15
(3). The schedule established by the Secretary shall require an owner of 16
impervious surface subject to permitting under this subdivision to obtain 17
coverage by the following dates: 18
(i) for impervious surface located within the Lake Champlain 19
watershed, the Lake Memphremagog watershed, or the watershed of a 20
stormwater-impaired water on or before October 1, 2023; and 2028 21 BILL AS INTRODUCED S.24
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(ii) for impervious surface located within all other watersheds of 1
the State, no later than October 1, 2033. 2
(B) Establish criteria and technical standards, such as best 3
management practices, for implementation of stormwater improvements for the 4
retrofitting of impervious surface subject to permitting under this subdivision 5
(3). 6
(C) Require that a discharge of stormwater from impervious surface 7
subject to the requirements of this section comply with the standards of 8
subsection (h) of this section for redevelopment of or renewal of a permit for 9
existing impervious surface. 10
(D) Allow the use of stormwater impact fees, offsets, and phosphorus 11
credit trading within the watershed of the water to which the stormwater 12
discharges or runs off. 13
* * * 14
Sec. 2. 2017 Acts and Resolves No. 85, Sec. I.12 is amended to read: 15
Sec. I.12. EFFECTIVE DATES 16
(a) Secs. I.1–I.12 shall take effect on July 1, 2017, except that Sec. I.10 17
(allocating clean water surcharge revenue to Vermont Housing and 18
Conservation Trust Fund) shall take effect on July 1, 2027 2036. 19
Sec. 3. 2017 Acts and Resolves No. 85, Sec. I.7(d) is amended to read: 20 BILL AS INTRODUCED S.24
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(d) To compensate for this reduction of available property transfer tax 1
revenue, it is the intent of the General Assembly through this act to provide for 2
the transfer of $2,500,000.00 to the Vermont Housing and Conservation Trust 3
Fund, as follows: 4
(1) Sec. D.100 of this act appropriates $11,304,840.00 in fiscal year 5
2018 from the Vermont Housing and Conservation Trust Fund to the Vermont 6
Housing and Conservation Board. Upon the effective date of this act, 7
$1,500,000.00 shall revert to the Fund, resulting in a fiscal year 2018 total 8
appropriation to the Board of $9,804,840.00. In fiscal year 2018 only, the 9
amount of $1,500,000.00 from the Vermont Housing and Conservation Trust 10
Fund shall be transferred to the General Fund. 11
(2) As provided in Sec. I.9 of this act, from July 1, 2017 until 12
July 1, 2027 2036, pursuant to 32 V.S.A. § 9602a, the first $1,000,000.00 in 13
revenue generated by the clean water surcharge of 0.2 percent shall be 14
transferred to the Vermont Housing and Conservation Trust Fund. In fiscal 15
year 2018 only, the Commissioner shall transfer the amount of $1,000,000.00 16
from the Vermont Housing and Conservation Trust Fund to the General Fund. 17
(3) After July 1, 2027 2036, pursuant to 32 V.S.A. § 9602a as amended 18
in Sec. I.10 of this act, $1,000,000.00 in total revenue generated by the clean 19
water surcharge of 0.04 percent shall be transferred to the Vermont Housing 20
and Conservation Trust Fund. 21 BILL AS INTRODUCED S.24
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(4) As provided in Sec. I.11 of this act, the clean water surcharge will be 1
repealed in its entirety on July 1, 2039. 2
Sec. 4. 10 V.S.A. § 1264c is added to read: 3
§ 1264c. LOCAL COMMUNITY IMPLEMENTATION SPECIAL FUND 4
(a) There is established the Local Community Implementation Special 5
Fund to be administered by the Secretary of Natural Resources in accordance 6
with 32 V.S.A. chapter 7, subchapter 5 to provide grants to municipalities to 7
assist in the stormwater permitting of residential subdivisions or orphan 8
systems in the State. The Fund shall consist of: 9
(1) an annual appropriation of at least $1,000,000.00 from the Clean 10
Water Fund; 11
(2) private gifts, bequests, and donations made to the State for any of the 12
purposes for which the Fund was established; and 13
(3) other funds from any public or private source intended for use for 14
any of the purposes for which the Fund has been established. 15
(b) The Secretary may issue grants from the funds to: 16
(1) a municipality subject to the permitting requirement under 17
subdivision 1264(c)(3) of this title for its municipal separate storm sewer 18
system when the municipality assumes under its municipal separate storm 19
sewer system permit the permitting requirements of an orphan system or other 20
residential stormwater system under subdivision 1264(d)(2) of this title; or 21 BILL AS INTRODUCED S.24
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(2) a municipality that is not subject to the permitting requirement under 1
subdivision 1264(c)(3) of this title for its municipal separate storm sewer 2
system when the municipality assumes the full legal responsibility for a 3
stormwater system under subdivision 1264(d)(2) of this title or agrees to be a 4
co-applicant for a permit for an orphan system within the municipality. 5
(c) The Secretary of Natural Resources shall accept applications for grants 6
from the Fund until September 1 of each fiscal year. Grants shall be awarded 7
on a priority basis for stormwater systems with impending timing constraints 8
or for those projects that will achieve the greatest reduction in pollutant load. 9
(d) Annually, on or before January 31, the Department shall report to the 10
House Committee on Environment and the Senate Committee on Natural 11
Resources and Energy regarding operation and administration of the Local 12
Community Implementation Special Fund. The report shall include a 13
description of each grant awarded from the Fund in the previous calendar year. 14
(e) As used in this section, “orphan stormwater system” means a 15
stormwater system: 16
(1) that serves a residential subdivision; 17
(2) that operates under an expired stormwater discharge permit or was 18
never issued a stormwater discharge permit; and 19
(3) for which the original permittee, in the discretion of the Secretary of 20
Natural Resources, is no longer associated with the system. 21 BILL AS INTRODUCED S.24
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Sec. 5. 10 V.S.A. § 1389(e) is amended to read: 1
(e) Priorities. In making recommendations under subsection (d) of this 2
section regarding the appropriate allocation of funds from the Clean Water 3
Fund, the Board shall prioritize as follows: 4
(1) As a first priority, make recommendations regarding funding for the 5
following grants and programs, which shall each be given equal priority: 6
(A) grants to clean water service providers to fund the reasonable 7
costs associated with the inspection, verification, operation, and maintenance 8
of clean water projects in a basin; 9
(B) grants to municipalities or property owners to assist with the 10
costs of complying with permitting requirements under subdivisions 11
1264(c)(1) and (7) of this title; 12
(C) the Water Quality Restoration Formula Grant under section 925 13
of this title; 14
(C)(D) the Agency of Agriculture, Food and Markets’ agricultural 15
water quality programs; and 16
(D)(E) the Water Quality Enhancement Grants under section 926 of 17
this title at a funding level of at least 20 percent of the annual balance of the 18
Clean Water Fund, provided that the maximum amount recommended under 19
this subdivision (D) (E) in any year shall not exceed $5,000,000.00; and 20 BILL AS INTRODUCED S.24
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(E)(F) funding to partners for basin planning, basin water quality 1
council participation, education, and outreach as provided in subdivision 2
1253(d)(3) of this title, provided funding shall be at least $500,000.00. 3
(2) As the next priority after reviewing funding requests for programs 4
identified under subdivision (1) of this subsection: 5
(A) funding to programs or projects that address or repair riparian 6
conditions that increase the risk of flooding or pose a threat to life or property; 7
(B) funding for education and outreach regarding the implementation 8
of water quality requirements, including funding for education, outreach, 9
demonstration, and access to tools for the implementation of the Acceptable 10
Management Practices for Maintaining Water Quality on Logging Jobs in 11
Vermont, as adopted by the Commissioner of Forests, Parks and Recreation; 12
(C) funding for the Municipal Stormwater Implementation Grant as 13
provided in section 928 of this title; 14
(D) funding for innovative or alternative technologies or practices 15
designed to improve water quality or reduce sources of pollution to surface 16
waters, including funding for innovative nutrient removal technologies and 17
community-based methane digesters that utilize manure, wastewater, and food 18
residuals to produce energy; and 19 BILL AS INTRODUCED S.24
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(E) funding to purchase agricultural land in order to take that land out 1
of practice when the State water quality requirements cannot be remediated 2
through agricultural Best Management Practices. 3
(3) As the next priority after reviewing funding requests under 4
subdivisions (1) and (2) of this subsection, funding for the Developed Lands 5
Implementation Grant Program as provided in section 927 of this title. 6
Sec. 6. APPROPRIATION 7
Notwithstanding any other provision of law, $5,000,000.00 is transferred 8
from the Clean Water Fund to the Local Community Implementation Special 9
Fund in fiscal year 2025. 10
Sec. 7. 24 V.S.A. § 3616 is amended to read: 11
§ 3616. RENTS; RATES 12
(a) A municipal corporation, through its board may establish rates, rents, or 13
charges to be paid as the board may prescribe. The board may establish annual 14
charges separately for bond repayment, fixed operations and maintenance costs 15
and variable operations and maintenance costs dependent on flow. 16
(b) The rates, rents, or charges may be based upon: 17
(1) the metered consumption of water on premises connected with the 18
sewer system, however, the board may determine no user will be billed for 19
fixed operations and maintenance costs and bond payment less than the 20
average single-family charge; 21 BILL AS INTRODUCED S.24
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(2) the number of equivalent units connected with or served by the 1
sewage system based upon their estimated flows compared to the estimated 2
flows from a single-family dwelling, however, the board may determine no 3
user will be billed less than the minimum charge determined for the single-4
family dwelling charge for fixed operations and maintenance costs and bond 5
payment; 6
* * * 7
(6) for groundwater, surface, or stormwater an equivalent residential 8
unit based on an average or median of the area of impervious surface on 9
residential property within the municipality; or 10
(7) any combination of these bases, provided the combination is 11
equitable. 12
* * * 13
Sec. 8. EFFECTIVE DATE 14
This act shall take effect on July 1, 2025. 15