HB 1069 2003
1	A bill to be entitled
2	An act relating to water resources; amending s. 163.3167,
3	F.S.; requiring local governments to include projected
4	water use in comprehensive plans; amending s. 163.3177,
5	F.S.; including potable water facilities and availability
6	of water resources as components of a comprehensive plan;
7	amending s. 367.081, F.S.; revising procedure for fixing
8	and changing rates to include the recovery of costs of
9	alternative water supply facilities; amending s. 367.0814,
10	F.S.; revising limit on the amount of revenues received by
11	a utility to qualify for staff assistance in changing
12	rates or charges; creating s. 367.0818, F.S.; authorizing
13	the Florida Public Service Commission to establish
14	conservation or drought rates; amending s. 373.0361, F.S.;
15	including conservation measures in regional water supply
16	plans; providing for a technical committee and providing
17	duties thereof; amending s. 373.0831, F.S.; requiring the
18	governing board of a water control district to include
19	certain information in its annual budget request; creating
20	s. 373.186, F.S.; providing legislative findings and
21	intent with regard to landscape irrigation design;
22	creating s. 373.190, F.S.; requiring individual water
23	meters in certain establishments; providing exceptions;
24	amending s. 373.1961, F.S.; providing for funding for
25	certain water management districts; providing funding
26	priority; providing conditions for certain projects to
27	receive funding assistance; amending s. 373.219, F.S.;
28	providing an exception from permit requirements for
29	certain water uses; amending s. 373.223, F.S.; providing
30	criteria for designation of proposed use of water by a
31	utility as a reasonable-beneficial use; providing for
32	informative billing by utilities; prohibiting the sale of
33	consumptive use water rights; creating s. 373.2231, F.S.;
34	providing for consideration of impact of proposed water
35	use; amending s. 373.236, F.S.; requiring the Department
36	of Environmental Protection or the water management
37	district to adopt rules relating to longer duration
38	permits under certain circumstances; creating s. 373.4271,
39	F.S.; requiring the department, in consultation with the
40	district, to adopt rules relating to concurrent review of
41	consumptive use permit and environmental resource permit
42	applications; amending s. 378.212, F.S.; allowing a
43	variance from pts. III and IV of ch. 378, F.S., and pt. IV
44	of ch. 373, F.S., to accommodate reclamation; amending s.
45	403.064, F.S.; providing for metering use of reclaimed
46	water and volume-based rates therefor; requiring
47	wastewater utilities to submit plans for metering use and
48	volume-based rate structures to the department; amending
49	s. 403.0645, F.S.; providing for reclaimed water use at
50	state facilities; requiring reports; amending s. 403.1835,
51	F.S.; providing for development of rate structures for
52	alternative water supply systems; providing criteria;
53	amending ss. 373.016, 373.1962, 373.217, and 373.229,
54	F.S.; conforming cross references to changes made by the
55	act; providing an effective date.
56
57	Be It Enacted by the Legislature of the State of Florida:
58
59	Section 1. Subsection (13) is added to section 163.3167,
60	Florida Statutes, to read:
61	163.3167 Scope of act.--
62	(13) Each local government shall address in its
63	comprehensive plan the availability of water supplies necessary
64	to meet the projected water use demands for the established
65	planning period, compatible with any applicable plan developed
66	pursuant to s. 373.0361.
67	Section 2. Paragraph (a) of subsection (3) and paragraph
68	(a) of subsection (6) of section 163.3177, Florida Statutes, are
69	amended to read:
70	163.3177 Required and optional elements of comprehensive
71	plan; studies and surveys.--
72	(3)(a) The comprehensive plan shall contain a capital
73	improvements element designed to consider the need for and the
74	location of public facilities in order to encourage the
75	efficient utilization of such facilities and set forth:
76	1. A component which outlines principles for construction,
77	extension, or increase in capacity of public facilities, as well
78	as a component which outlines principles for correcting existing
79	public facility deficiencies, which are necessary to implement
80	the comprehensive plan. The components shall cover at least a 5-
81	year period.
82	2. A component which outlines plans for construction,
83	extension, or increase in capacity of potable water facilities.
84	Such component shall be compatible with the applicable regional
85	water supply plan developed pursuant to s. 373.0361. Such
86	component shall include a water conservation section that
87	outlines potential water savings to be gained through water
88	conservation practices.
89	3.2.Estimated public facility costs, including a
90	delineation of when facilities will be needed, the general
91	location of the facilities, and projected revenue sources to
92	fund the facilities.
93	4.3.Standards to ensure the availability of public
94	facilities and the adequacy of those facilities including
95	acceptable levels of service.
96	5.4.Standards for the management of debt.
97	(6) In addition to the requirements of subsections (1)-
98	(5), the comprehensive plan shall include the following
99	elements:
100	(a) A future land use plan element designating proposed
101	future general distribution, location, and extent of the uses of
102	land for residential uses, commercial uses, industry,
103	agriculture, recreation, conservation, education, public
104	buildings and grounds, other public facilities, and other
105	categories of the public and private uses of land. Each future
106	land use category must be defined in terms of uses included, and
107	must include standards to be followed in the control and
108	distribution of population densities and building and structure
109	intensities. The proposed distribution, location, and extent of
110	the various categories of land use shall be shown on a land use
111	map or map series which shall be supplemented by goals,
112	policies, and measurable objectives. The future land use plan
113	shall be based upon surveys, studies, and data regarding the
114	area, including the amount of land required to accommodate
115	anticipated growth; the projected population of the area; the
116	character of undeveloped land; the availability of ground and
117	surface water resources for present and future water supplies
118	and the potential for development of alternative water supplies;
119	the availability of public services; the need for redevelopment,
120	including the renewal of blighted areas and the elimination of
121	nonconforming uses which are inconsistent with the character of
122	the community; and, in rural communities, the need for job
123	creation, capital investment, and economic development that will
124	strengthen and diversify the community's economy. The future
125	land use plan may designate areas for future planned development
126	use involving combinations of types of uses for which special
127	regulations may be necessary to ensure development in accord
128	with the principles and standards of the comprehensive plan and
129	this act. In addition, for rural communities, the amount of land
130	designated for future planned industrial use shall be based upon
131	surveys and studies that reflect the need for job creation,
132	capital investment, and the necessity to strengthen and
133	diversify the local economies, and shall not be limited solely
134	by the projected population of the rural community. The future
135	land use plan of a county may also designate areas for possible
136	future municipal incorporation. The land use maps or map series
137	shall generally identify and depict historic district boundaries
138	and shall designate historically significant properties meriting
139	protection. The future land use element must clearly identify
140	the land use categories in which public schools are an allowable
141	use. When delineating the land use categories in which public
142	schools are an allowable use, a local government shall include
143	in the categories sufficient land proximate to residential
144	development to meet the projected needs for schools in
145	coordination with public school boards and may establish
146	differing criteria for schools of different type or size. Each
147	local government shall include lands contiguous to existing
148	school sites, to the maximum extent possible, within the land
149	use categories in which public schools are an allowable use. All
150	comprehensive plans must comply with the school siting
151	requirements of this paragraph no later than October 1, 1999.
152	The failure by a local government to comply with these school
153	siting requirements by October 1, 1999, will result in the
154	prohibition of the local government's ability to amend the local
155	comprehensive plan, except for plan amendments described in s.
156	163.3187(1)(b), until the school siting requirements are met.
157	Amendments proposed by a local government for purposes of
158	identifying the land use categories in which public schools are
159	an allowable use or for adopting or amending the school-siting
160	maps pursuant to s. 163.31776(3) are exempt from the limitation
161	on the frequency of plan amendments contained in s. 163.3187.
162	The future land use element shall include criteria that
163	encourage the location of schools proximate to urban residential
164	areas to the extent possible and shall require that the local
165	government seek to collocate public facilities, such as parks,
166	libraries, and community centers, with schools to the extent
167	possible and to encourage the use of elementary schools as focal
168	points for neighborhoods. For schools serving predominantly
169	rural counties, defined as a county with a population of 100,000
170	or fewer, an agricultural land use category shall be eligible
171	for the location of public school facilities if the local
172	comprehensive plan contains school siting criteria and the
173	location is consistent with such criteria.
174	Section 3. Subsection (2) of section 367.081, Florida
175	Statutes, is amended to read:
176	367.081 Rates; procedure for fixing and changing.--
177	(2)(a)1. The commission shall, either upon request or upon
178	its own motion, fix rates which are just, reasonable,
179	compensatory, and not unfairly discriminatory. In every such
180	proceeding, the commission shall consider the value and quality
181	of the service and the cost of providing the service, which
182	shall include, but not be limited to, debt interest; the
183	requirements of the utility for working capital; maintenance,
184	depreciation, tax, and operating expenses incurred in the
185	operation of all property used and useful in the public service;
186	and a fair return on the investment of the utility in property
187	used and useful in the public service. Pursuant to s.
188	373.1961(2)(l), the commission shall allow recovery of the full,
189	prudently incurred costs of alternative water supply facilities.
190	However, the commission shall not allow the inclusion of
191	contributions-in-aid-of-construction in the rate base of any
192	utility during a rate proceeding, nor shall the commission
193	impute prospective future contributions-in-aid-of-construction
194	against the utility's investment in property used and useful in
195	the public service; and accumulated depreciation on such
196	contributions-in-aid-of-construction shall not be used to reduce
197	the rate base, nor shall depreciation on such contributed assets
198	be considered a cost of providing utility service.
199	2. For purposes of such proceedings, the commission shall
200	consider utility property, including land acquired or facilities
201	constructed or to be constructed within a reasonable time in the
202	future, not to exceed 24 months after the end of the historic
203	base year used to set final rates unless a longer period is
204	approved by the commission, to be used and useful in the public
205	service, if:
206	a. Such property is needed to serve current customers;
207	b. Such property is needed to serve customers 5 years
208	after the end of the test year used in the commission's final
209	order on a rate request as provided in subsection (6) at a
210	growth rate for equivalent residential connections not to exceed
211	5 percent per year; or
212	c. Such property is needed to serve customers more than 5
213	full years after the end of the test year used in the
214	commission's final order on a rate request as provided in
215	subsection (6) only to the extent that the utility presents
216	clear and convincing evidence to justify such consideration.
217
218	Notwithstanding the provisions of this paragraph, the commission
219	shall approve rates for service which allow a utility to recover
220	from customers the full amount of environmental compliance
221	costs. Such rates may not include charges for allowances for
222	funds prudently invested or similar charges. For purposes of
223	this requirement, the term "environmental compliance costs"
224	includes all reasonable expenses and fair return on any prudent
225	investment incurred by a utility in complying with the
226	requirements or conditions contained in any permitting,
227	enforcement, or similar decisions of the United States
228	Environmental Protection Agency, the Department of Environmental
229	Protection, a water management district, or any other
230	governmental entity with similar regulatory jurisdiction.
231	(b) In establishing initial rates for a utility, the
232	commission may project the financial and operational data as set
233	out in paragraph (a) to a point in time when the utility is
234	expected to be operating at a reasonable level of capacity.
235	Section 4. Subsection (1) of section 367.0814, Florida
236	Statutes, is amended to read:
237	367.0814 Staff assistance in changing rates and charges;
238	interim rates.--
239	(1) The commission may establish rules by which a water or
240	wastewater utility whose gross annual revenues are $200,000
241	$150,000or less may request and obtain staff assistance for the
242	purpose of changing its rates and charges. A utility may request
243	staff assistance by filing an application with the commission.
244	Section 5. Section 367.0818, Florida Statutes, is created
245	to read:
246	367.0818 Conservation or drought rates.--The commission
247	may, during any proceeding for a change in rates, upon its own
248	motion, upon a petition from any party, or by a tariff filing,
249	establish conservation or drought rates designed to promote more
250	efficient use of water and provide an economic incentive for
251	consumers to limit water use. The commission shall have the
252	authority to stabilize the revenues that are generated by
253	conservation or drought rates.
254	Section 6. Paragraph (a) of subsection (4) of section
255	373.016, Florida Statutes, is amended to read:
256	373.016 Declaration of policy.--
257	(4)(a) Because water constitutes a public resource
258	benefiting the entire state, it is the policy of the Legislature
259	that the waters in the state be managed on a state and regional
260	basis. Consistent with this directive, the Legislature
261	recognizes the need to allocate water throughout the state so as
262	to meet all reasonable-beneficial uses. However, the Legislature
263	acknowledges that such allocations have in the past adversely
264	affected the water resources of certain areas in this state. To
265	protect such water resources and to meet the current and future
266	needs of those areas with abundant water, the Legislature
267	directs the department and the water management districts to
268	encourage the use of water from sources nearest the area of use
269	or application whenever practicable. Such sources shall include
270	all naturally occurring water sources and all alternative water
271	sources, including, but not limited to, desalination,
272	conservation, reuse of nonpotable reclaimed water and
273	stormwater, and aquifer storage and recovery. Reuse of potable
274	reclaimed water and stormwater shall not be subject to the
275	evaluation described in s. 373.223(4)(3)(a)-(g). However, this
276	directive to encourage the use of water, whenever practicable,
277	from sources nearest the area of use or application shall not
278	apply to the transport and direct and indirect use of water
279	within the area encompassed by the Central and Southern Florida
280	Flood Control Project, nor shall it apply anywhere in the state
281	to the transport and use of water supplied exclusively for
282	bottled water as defined in s. 500.03(1)(d), nor shall it apply
283	to the transport and use of reclaimed water for electrical power
284	production by an electric utility as defined in section
285	366.02(2).
286	Section 7. Paragraphs (a) and (f) of subsection (2) of
287	section 373.0361, Florida Statutes, are amended to read:
288	373.0361 Regional water supply planning.--
289	(2) Each regional water supply plan shall be based on at
290	least a 20-year planning period and shall include, but not be
291	limited to:
292	(a) A water supply development component that includes:
293	1. A quantification of the water supply needs for all
294	existing and reasonably projected future uses within the
295	planning horizon. The level-of-certainty planning goal
296	associated with identifying the water supply needs of existing
297	and future reasonable-beneficial uses shall be based upon
298	meeting those needs for a 1-in-10-year drought event.
299	2. A list of water source options for water supply
300	development, including traditional and alternative sources and
301	conservation measures, from which local government, government-
302	owned and privately owned utilities, self-suppliers, and others
303	may choose, which will exceed the needs identified in
304	subparagraph 1.
305	3. For each option listed in subparagraph 2., the
306	estimated amount of water available for use and the estimated
307	costs of and potential sources of funding for water supply
308	development.
309	4. A list of water supply development projects that meet
310	the criteria in s. 373.0831(4).
311	(f) The technical data, modeling tools,and information
312	applicable to the planning region which are contained in the
313	district water management plan and are necessary to support the
314	regional water supply plan, which data, modeling tools, and
315	information must be reviewed by a technical committee comprised
316	of, at a minimum, members appointed from each appropriate county
317	local planning agency or local planning agency staff, each
318	appropriate regional planning council, and each appropriate
319	water supply authority. Upon review, a recommendation shall be
320	made by the committee as to whether the data, tools, and
321	information are the best available to serve as the basis of the
322	district water management plan and are necessary to support the
323	regional water supply plan and the local government plans
324	developed pursuant to s. 163.3177.
325	Section 8. Subsection (3) of section 373.0831, Florida
326	Statutes, is amended to read:
327	373.0831 Water resource development; water supply
328	development.--
329	(3) The water management districts shall fund and
330	implement water resource development as defined in s. 373.019.
331	Each governing board shall include in its annual budget the
332	amount needed for the fiscal year to implement water resource
333	development projects, as prioritized in its regional water
334	supply plans. When submitting its annual budget to the
335	Executive Office of the Governor for review under s. 373.536,
336	the governing board shall explain how each water resource
337	development project will produce additional water available for
338	consumptive uses and estimate the quantity of water to be
339	produced.
340	Section 9. Section 373.186, Florida Statutes, is created
341	to read:
342	373.186 Landscape irrigation design.--
343	(1) The Legislature finds that multiple areas throughout
344	the state have been identified by water management districts as
345	water resource caution areas, which indicates that water demand
346	in those areas will, in the near future, exceed the current
347	available water supply, and that conservation is one of the
348	mechanisms by which future water demand will be met.
349	(2) The Legislature finds that landscape irrigation
350	comprises a significant portion of water use and the current
351	typical landscape irrigation system designs offer significant
352	potential water conservation benefits.
353	(3) It is the intent of the Legislature to improve
354	landscape irrigation water use efficiency by ensuring landscape
355	irrigation systems meet or exceed minimum design criteria.
356	(4) All local governments are encouraged to develop and
357	adopt landscape irrigation design standards for new construction
358	that incorporates a landscape irrigation system. Such standards
359	should promote effective and efficient use of irrigation water
360	and include a consideration of local demographic, hydrologic,
361	and other considerations as they apply to landscape irrigation
362	water use.
363	Section 10. Section 373.190, Florida Statutes, is created
364	to read:
365	373.190 Metering.--Individual water meters shall be
366	required for each separate occupancy unit of new commercial
367	establishments; residential buildings; condominiums, including
368	resort condominiums and timeshares; cooperatives; marinas; and
369	trailer, mobile home, and recreational vehicle parks for which
370	construction is commenced after July 1, 2003. This requirement
371	shall apply regardless of whether the facility is engaged in a
372	timesharing plan. Individual water meters shall not be required:
373	(1) In those portions of a commercial establishment where
374	the floor space dimensions or physical configuration of the
375	units are subject to alteration as evidenced by nonstructural
376	element partition walls, unless the utility determines that
377	adequate provisions can be made to modify the metering to
378	accurately reflect such alterations.
379	(2) For water used in specialized-use housing such as
380	hospitals, nursing homes, living facilities located on the same
381	premises as and operated in conjunction with a nursing home or
382	other health care facility providing at least the same level and
383	types of service as a nursing home, convalescent homes,
384	facilities certified under chapter 651, college dormitories,
385	convents, sorority houses, fraternity houses, motels, hotels,
386	and similar facilities.
387	(3) For separate specifically designated areas for
388	overnight occupancy at trailer, mobile home, and recreational
389	vehicle parks where permanent residency is not established and
390	for marinas where living on board is prohibited by ordinance,
391	deed restriction, or other permanent means.
392	Section 11. Subsection (2) of section 373.1961, Florida
393	Statutes, is amended to read:
394	373.1961 Water production.--
395	(2) The Legislature finds that, due to a combination of
396	factors, vastly increased demands have been placed on natural
397	supplies of fresh water, and that, absent increased development
398	of alternative water supplies, such demands may increase in the
399	future. The Legislature also finds that potential exists in the
400	state for the production of significant quantities of
401	alternative water supplies, including reclaimed water, and that
402	water production includes the development of alternative water
403	supplies, including reclaimed water, for appropriate uses. It is
404	the intent of the Legislature that utilities develop reclaimed
405	water systems, where reclaimed water is the most appropriate
406	alternative water supply option, to deliver reclaimed water to
407	as many users as possible through the most cost-effective means,
408	and to construct reclaimed water system infrastructure to their
409	owned or operated properties and facilities where they have
410	reclamation capability. It is also the intent of the Legislature
411	that the water management districts which levy ad valorem taxes
412	for water management purposes should share a percentage of those
413	tax revenues with water providers and users, including local
414	governments, water, wastewater, and reuse utilities, municipal,
415	industrial, and agricultural water users, and other public and
416	private water users, to be used to supplement other funding
417	sources in the development of alternative water supplies. The
418	Legislature finds that public moneys or services provided to
419	private entities for such uses constitute public purposes which
420	are in the public interest. In order to further the development
421	and use of alternative water supply systems, including reclaimed
422	water systems, the Legislature provides the following:
423	(a) The governing boards of the water management districts
424	where water resource caution areas have been designated shall
425	include in their annual budgets an amount for the development of
426	alternative water supply systems, including reclaimed water
427	systems, pursuant to the requirements of this subsection. Annual
428	funding amounts for the St. Johns River, South Florida, and
429	Southwest Florida Water Management Districts shall be at least
430	$20 million. Funding for alternative water supply systems in the
431	Northwest Florida Water Management District shall be
432	administered by the department using annual state
433	appropriations.Beginning in 1996, such amounts shall be made
434	available to water providers and users no later than December 31
435	of each year, through grants, matching grants, revolving loans,
436	or the use of district lands or facilities pursuant to the
437	requirements of this subsection and guidelines established by
438	the districts. In making grants or loans, funding priority
439	shall be given to projects located within water resource caution
440	areas, projects consistent with regional water supply plans, and
441	projects featuring efficient and effective use of reclaimed
442	water.
443	(b) It is the intent of the Legislature that for each
444	reclaimed water utility, or any other utility, which receives
445	funds pursuant to this subsection, the appropriate rate-setting
446	authorities should develop rate structures for all water,
447	wastewater, and reclaimed water and other alternative water
448	supply utilities in the service area of the funded utility,
449	which accomplish the following:
450	1. Provide meaningful progress toward the development and
451	implementation of alternative water supply systems, including
452	reclaimed water systems;
453	2. Promote the conservation of fresh water withdrawn from
454	natural systems;
455	3. Provide for an appropriate distribution of costs for
456	all water, wastewater, and alternative water supply utilities,
457	including reclaimed water utilities, among all of the users of
458	those utilities; and
459	4. Prohibit rate discrimination within classes of utility
460	users.
461	(c) Funding assistance provided by the water management
462	districts for water reuse systems shall include grant or loan
463	conditions that require the following:
464	1. Metering of reclaimed water use for the following
465	activities: residential irrigation, agricultural irrigation,
466	industrial uses, golf course irrigation, landscape irrigation,
467	irrigation of other public access areas, commercial and
468	institutional uses such as toilet flushing, and transfers to
469	other reclaimed water utilities.
470	2. Implementation of reclaimed water rate structures based
471	on actual use of reclaimed water for the types of reuse
472	activities listed in subparagraph 1.
473	3. Implementation of education programs to inform the
474	public about water issues, water conservation, and the
475	importance and proper use of reclaimed water.
476	4. Development of global positioning satellite location
477	data for key reuse facilities.
478	(d)(c)In order to be eligible for funding pursuant to
479	this subsection, a project must be consistent with a local
480	government comprehensive plan and the governing body of the
481	local government must require all appropriate new facilities
482	within the project's service area to connect to and use the
483	project's alternative water supplies. The appropriate local
484	government must provide written notification to the appropriate
485	district that the proposed project is consistent with the local
486	government comprehensive plan.
487	(e)(d)Any and all revenues disbursed pursuant to this
488	subsection shall be applied only for the payment of capital or
489	infrastructure costs for the construction of alternative water
490	supply systems that provide alternative water supplies.
491	(f)(e)By January 1 of each year, the governing boards
492	shall make available written guidelines for the disbursal of
493	revenues pursuant to this subsection. Such guidelines shall
494	include at minimum:
495	1. An application process and a deadline for filing
496	applications annually.
497	2. A process for determining project eligibility pursuant
498	to the requirements of paragraphs (d)(c) and (e)(d).
499	3. A process and criteria for funding projects pursuant to
500	this subsection that cross district boundaries or that serve
501	more than one district.
502	(g)(f)The governing board of each water management
503	district shall establish an alternative water supplies grants
504	advisory committee to recommend to the governing board projects
505	for funding pursuant to this subsection. The advisory committee
506	members shall include, but not be limited to, one or more
507	representatives of county, municipal, and investor-owned private
508	utilities, and may include, but not be limited to,
509	representatives of agricultural interests and environmental
510	interests. Each committee member shall represent his or her
511	interest group as a whole and shall not represent any specific
512	entity. The committee shall apply the guidelines and project
513	eligibility criteria established by the governing board in
514	reviewing proposed projects. After one or more hearings to
515	solicit public input on eligible projects, the committee shall
516	rank the eligible projects and shall submit them to the
517	governing board for final funding approval. The advisory
518	committee may submit to the governing board more projects than
519	the available grant money would fund.
520	(h)(g)All revenues made available annually pursuant to
521	this subsection must be encumbered annually by the governing
522	board if it approves projects sufficient to expend the available
523	revenues. Funds must be disbursed within 36 months after
524	encumbrance.
525	(i)(h)For purposes of this subsection, alternative water
526	supplies are supplies of water that have been reclaimed after
527	one or more public supply, municipal, industrial, commercial, or
528	agricultural uses, or are supplies of stormwater, or brackish or
529	salt water, that have been treated in accordance with applicable
530	rules and standards sufficient to supply the intended use.
531	(j)(i)This subsection shall not be subject to the
532	rulemaking requirements of chapter 120.
533	(k)(j)By January 30 of each year, each water management
534	district shall submit an annual report to the Governor, the
535	President of the Senate, and the Speaker of the House of
536	Representatives which accounts for the disbursal of all budgeted
537	amounts pursuant to this subsection. Such report shall describe
538	all projects funded and shall account separately for moneys
539	provided through grants, matching grants, revolving loans, and
540	the use of district lands or facilities.
541	(l)(k)The Florida Public Service Commission shall allow
542	entities under its jurisdiction constructing alternative water
543	supply facilities, including but not limited to aquifer storage
544	and recovery wells, to recover the full, prudently incurred cost
545	of such facilities through their rate structure. Every component
546	of an alternative water supply facility constructed by an
547	investor-owned utility shall be recovered in current rates.
548	Section 12. Subsection (9) of section 373.1962, Florida
549	Statutes, is amended to read:
550	373.1962 Regional water supply authorities.--
551	(9) Where a water supply authority exists pursuant to this
552	section or s. 373.1963 under a voluntary interlocal agreement
553	that is consistent with requirements in s. 373.1963(1)(b) and
554	receives or maintains consumptive use permits under this
555	voluntary agreement consistent with the water supply plan, if
556	any, adopted by the governing board, such authority shall be
557	exempt from consideration by the governing board or department
558	of the factors specified in s. 373.223(4)(3)(a)-(g) and the
559	submissions required by s. 373.229(3). Such exemptions shall
560	apply only to water sources within the jurisdictional areas of
561	such voluntary water supply interlocal agreements.
562	Section 13. Subsection (2) of section 373.217, Florida
563	Statutes, is amended to read:
564	373.217 Superseded laws and regulations.--
565	(2) It is the further intent of the Legislature that Part
566	II of the Florida Water Resources Act of 1972, as amended, as
567	set forth in ss. 373.203-373.249, shall provide the exclusive
568	authority for requiring permits for the consumptive use of water
569	and for authorizing transportation thereof pursuant to s.
570	373.223(3)(2).
571	Section 14. Subsection (1) of section 373.219, Florida
572	Statutes, is amended to read:
573	373.219 Permits required.--
574	(1) The governing board or the department may require such
575	permits for consumptive use of water and may impose such
576	reasonable conditions as are necessary to assure that such use
577	is consistent with the overall objectives of the district or
578	department and is not harmful to the water resources of the
579	area. However, no permit shall be required for domestic
580	consumption of water by individual users or consumption or use
581	of domestic wastewater effluent subject to review under s.
582	403.064.
583	Section 15. Section 373.223, Florida Statutes, is amended
584	to read:
585	373.223 Conditions for a permit.--
586	(1) To obtain a permit pursuant to the provisions of this
587	chapter, the applicant must establish that the proposed use of
588	water:
589	(a) Is a reasonable-beneficial use as defined in s.
590	373.019;
591	(b) Will not interfere with any presently existing legal
592	use of water; and
593	(c) Is consistent with the public interest.
594	(2) A proposed use of water by a water utility shall be
595	deemed not to be a reasonable-beneficial use unless:
596	(a) The utility develops and formally adopts water
597	conservation rates or demonstrates either that specific
598	circumstances warrant a delay in implementing such rates or that
599	an alternative rate structure will promote appropriate water use
600	efficiency.
601	(b) The utility has developed and formally adopted drought
602	rates.
603	(c) The utility implements informative billing. Utility
604	bills shall be issued on a monthly basis unless the utility
605	demonstrates that a longer billing cycle is warranted.
606	Customers’ bills shall include the utility’s rate structure,
607	monthly rates, and the amount of water used by the customer in
608	the current month, in the previous month, and in the
609	corresponding month of the previous year. Customers’ bills may
610	include the average usage of all customers in that same customer
611	class, seasonal rates and applicable months, drought rates,
612	information on conserving water, or other information as deemed
613	appropriate by the utility. If the public service commission or
614	local government with rate-setting authority find that it is
615	cost-prohibitive for a utility to implement monthly informative
616	billing, the utility shall provide informative billing
617	information to each customer on an annual basis. The annual
618	notice shall include the utility’s rate structure, rates, and a
619	sample bill calculation and may include additional billing
620	information as deemed appropriate by the utility. All utilities
621	shall provide either monthly or annual informative billing
622	information as provided in this paragraph by July 1, 2007. The
623	water management districts shall adopt rules to implement this
624	requirement.
625	(3)(2)The governing board or the department may authorize
626	the holder of a use permit to transport and use ground or
627	surface water beyond overlying land, across county boundaries,
628	or outside the watershed from which it is taken if the governing
629	board or department determines that such transport and use is
630	consistent with the public interest, and no local government
631	shall adopt or enforce any law, ordinance, rule, regulation, or
632	order to the contrary.
633	(4)(3)Except for the transport and use of water supplied
634	by the Central and Southern Florida Flood Control Project, and
635	anywhere in the state when the transport and use of water is
636	supplied exclusively for bottled water as defined in s.
637	500.03(1)(d), any water use permit applications pending as of
638	April 1, 1998, with the Northwest Florida Water Management
639	District and self-suppliers of water for which the proposed
640	water source and area of use or application are located on
641	contiguous private properties, when evaluating whether a
642	potential transport and use of ground or surface water across
643	county boundaries is consistent with the public interest,
644	pursuant to paragraph (1)(c), the governing board or department
645	shall consider:
646	(a) The proximity of the proposed water source to the area
647	of use or application.
648	(b) All impoundments, streams, groundwater sources, or
649	watercourses that are geographically closer to the area of use
650	or application than the proposed source, and that are
651	technically and economically feasible for the proposed transport
652	and use.
653	(c) All economically and technically feasible alternatives
654	to the proposed source, including, but not limited to,
655	desalination, conservation, reuse of nonpotable reclaimed water
656	and stormwater, and aquifer storage and recovery.
657	(d) The potential environmental impacts that may result
658	from the transport and use of water from the proposed source,
659	and the potential environmental impacts that may result from use
660	of the other water sources identified in paragraphs (b) and (c).
661	(e) Whether existing and reasonably anticipated sources of
662	water and conservation efforts are adequate to supply water for
663	existing legal uses and reasonably anticipated future needs of
664	the water supply planning region in which the proposed water
665	source is located.
666	(f) Consultations with local governments affected by the
667	proposed transport and use.
668	(g) The value of the existing capital investment in water-
669	related infrastructure made by the applicant.
670
671	Where districtwide water supply assessments and regional water
672	supply plans have been prepared pursuant to ss. 373.036 and
673	373.0361, the governing board or the department shall use the
674	applicable plans and assessments as the basis for its
675	consideration of the applicable factors in this subsection.
676	(5)(4)The governing board or the department, by
677	regulation, may reserve from use by permit applicants, water in
678	such locations and quantities, and for such seasons of the year,
679	as in its judgment may be required for the protection of fish
680	and wildlife or the public health and safety. Such reservations
681	shall be subject to periodic review and revision in the light of
682	changed conditions. However, all presently existing legal uses
683	of water shall be protected so long as such use is not contrary
684	to the public interest.
685	(6) Water use rights granted under a permit for the
686	consumptive use of water shall not be sold.
687	Section 16. Section 373.2231, Florida Statutes, is created
688	to read:
689	373.2231 Impact of proposed water use.--In order to ensure
690	that adequate water supply will be available for existing legal
691	uses and reasonably projected future demands without increasing
692	harm to water resources and related natural systems, the
693	district shall consider the potential cumulative impact of any
694	proposed use of water in light of reasonably anticipated future
695	uses based upon the projected demands contained in the
696	applicable regional water supply plan developed pursuant to s.
697	373.0361.
698	Section 17. Subsection (3) of section 373.229, Florida
699	Statutes, is amended to read:
700	373.229 Application for permit.--
701	(3) In addition to the information required in subsection
702	(1), all permit applications filed with the governing board or
703	the department which propose the transport and use of water
704	across county boundaries shall include information pertaining to
705	factors to be considered, pursuant to s. 373.223(4)(3), unless
706	exempt under s. 373.1962(9).
707	Section 18. Subsection (4) is added to section 373.236,
708	Florida Statutes, to read:
709	373.236 Duration of permits; compliance reports.--
710	(3) Where necessary to maintain reasonable assurance that
711	the conditions for issuance of a 20-year permit can continue to
712	be met, the governing board or department, in addition to any
713	conditions required pursuant to s. 373.219, may require a
714	compliance report by the permittee every 5 years during the term
715	of a permit. This report shall contain sufficient data to
716	maintain reasonable assurance that the initial conditions for
717	permit issuance are met. Following review of this report, the
718	governing board or the department may modify the permit to
719	ensure that the use meets the conditions for issuance. Permit
720	modifications pursuant to this subsection shall not be subject
721	to competing applications, provided there is no increase in the
722	permitted allocation or permit duration, and no change in
723	source, except for changes in source requested by the district.
724	This subsection shall not be construed to limit the existing
725	authority of the department or the governing board to modify or
726	revoke a consumptive use permit.
727	(4) The department or the water management district shall
728	adopt rules for the issuance of longer duration permits to
729	applicants who implement and provide reasonable assurances of
730	effective and efficient conservation measures that exceed the
731	average for the industry or type of water use and for which
732	there is sufficient data to provide reasonable assurance that
733	the conditions for permit issuance will be met for the duration
734	of the permit. Permits issued pursuant to this subsection shall
735	be subject to the provisions of subsection (3).
736	Section 19. Section 373.4271, Florida Statutes, is created
737	to read:
738	373.4271 Concurrent review of consumptive use permit and
739	environmental resource permit applications.--The department, in
740	consultation with the water management districts, shall adopt
741	rules requiring concurrent application submittal and
742	establishing concurrent review of a consumptive use permit
743	application and an environmental resource permit application for
744	those environmental resource permit applications where a new
745	consumptive use of water may be required. Rules adopted pursuant
746	to this section shall also provide an exemption for applicants
747	who can demonstrate that meeting this requirement would create
748	an economic hardship.
749	Section 20. Subsection (1) of section 378.212, Florida
750	Statutes, is amended to read:
751	378.212 Variances.--
752	(1) Upon application, the secretary may grant a variance
753	from the provisions of this part, part IV, and part IV of
754	chapter 373or the rules adopted pursuant thereto. Variances and
755	renewals thereof may be granted for any one of the following
756	reasons:
757	(a) There is no practicable means known or available to
758	comply with the provisions of this part or the rules adopted
759	pursuant thereto.
760	(b) Compliance with a particular requirement or
761	requirements from which a variance is sought will necessitate
762	the taking of measures which must be spread over a considerable
763	period of time. A variance granted for this reason shall
764	prescribe a timetable for the taking of the measures required.
765	(c) To relieve or prevent hardship, including economic
766	hardship, of a kind other than those provided for in paragraphs
767	(a) and (b).
768	(d) To accommodate specific phosphate mining, processing
769	or chemical plant uses that otherwise would be inconsistent with
770	the requirements of this part.
771	(e) To provide for an experimental technique that would
772	advance the knowledge of reclamation and restoration methods.
773	(f) To accommodate projects, including those proposing
774	offsite mitigation, that provide a significant regional benefit
775	for wildlife and the environment.
776	(g) To accommodate reclamation that provides water supply
777	development or water resource development consistent with the
778	applicable regional water supply plan approved pursuant to s.
779	373.0361, provided regional water resources are not adversely
780	affected.
781	Section 21. Subsection (16) is added to section 403.064,
782	Florida Statutes, to read:
783	403.064 Reuse of reclaimed water.--
784	(16) Utilities implementing reuse projects are encouraged
785	to meter use of reclaimed water by all end users and to charge
786	for the use of reclaimed water based on the actual volume used.
787	Metering and the use of volume-based rates are effective water
788	management tools for the following reuse activities: residential
789	irrigation, agricultural irrigation, industrial uses, golf
790	course irrigation, landscape irrigation, irrigation of other
791	public access areas, commercial and institutional uses such as
792	toilet flushing, and transfers to other reclaimed water
793	utilities. Beginning with the submittal due on January 1, 2004,
794	each domestic wastewater utility that provides reclaimed water
795	for the reuse activities listed in this section shall include a
796	summary of its metering and rate structure as part of its annual
797	reuse report to the department. By January 1, 2006, each
798	domestic wastewater utility that provides reclaimed water for
799	the reuse activities listed in this section shall prepare a plan
800	that presents its planned activities and an implementation
801	schedule for metering and the use of volume-based rate
802	structures for reclaimed water use. These plans shall be
803	reviewed and approved by the department.
804	Section 22. Section 403.0645, Florida Statutes, is created
805	to read:
806	403.0645 Reclaimed water use at state facilities.--
807	(1) The encouragement and promotion of reuse of reclaimed
808	water has been established as a state objective in ss. 373.250
809	and 403.064. Reuse has become an integral part of water and
810	wastewater management in Florida, and Florida is recognized as a
811	national leader in water reuse.
812	(2) The state and various state agencies and water
813	management districts should take a leadership role in using
814	reclaimed water in lieu of other water sources. Use of reclaimed
815	water by state agencies and facilities will conserve potable
816	water and will serve an important public education function.
817	(3) All state agencies and water management districts are
818	directed to use reclaimed water to the greatest extent
819	practicable for landscape irrigation, toilet flushing, aesthetic
820	features such as decorative ponds and fountains, cooling water,
821	and other useful purposes allowed by department rules at state
822	facilities, including, but not limited to, parks, rest areas,
823	visitor welcome centers, buildings, college campuses, and other
824	facilities.
825	(4) Each state agency and water management district shall
826	submit to the Secretary of Environmental Protection by February
827	1 of each year a summary of activities designed to utilize
828	reclaimed water at its facilities along with a summary of the
829	amounts of reclaimed water actually used for beneficial
830	purposes.
831	Section 23. Subsection (12) is added to section 403.1835,
832	Florida Statutes, to read:
833	403.1835 Water pollution control financial assistance.--
834	(12)(a) It is the intent of the Legislature that for each
835	reclaimed water utility or any other utility which receives
836	funds pursuant to this subsection, the appropriate rate-setting
837	authorities should develop rate structures for all water,
838	wastewater, and reclaimed water and other alternative water
839	supply utilities in the service area of the funded utility which
840	accomplish the following:
841	1. Provide meaningful progress toward the development and
842	implementation of alternative water supply systems, including
843	reclaimed water systems.
844	2. Promote the conservation of fresh water withdrawn from
845	natural systems.
846	3. Provide for an appropriate distribution of costs for
847	all water, wastewater, and alternative water supply utilities,
848	including reclaimed water utilities, among all of the users of
849	those utilities.
850	4. Prohibit rate discrimination within classes of utility
851	users.
852	(b) Funding assistance provided for water reuse systems
853	shall include loan conditions that require the following:
854	1. Metering of reclaimed water use for the following
855	activities: residential irrigation, agricultural irrigation,
856	industrial uses, golf course irrigation, landscape irrigation,
857	irrigation of other public access areas, and commercial uses.
858	2. Implementation of reclaimed water rate structures based
859	on actual use of reclaimed water for the reuse types listed in
860	subparagraph 1.
861	3. Implementation of education programs to inform the
862	public about water issues, water conservation, and the
863	importance and proper use of reclaimed water.
864	Section 24. This act shall take effect upon becoming a
865	law.