Florida Senate - 2022                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1426
       
       
       
       
       
       
                                Ì442316ÇÎ442316                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                   Comm: RS            .                                
                  02/16/2022           .                                
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       Appropriations Subcommittee on Agriculture, Environment, and
       General Government (Burgess) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 52 - 317
    4  and insert:
    5  by governmental entities to address impacts regulated under this
    6  part is needed.
    7         (c)The construction, operation, maintenance, and long-term
    8  management of water quality enhancement areas pursuant to this
    9  section will improve the certainty and long-term viability of
   10  water quality treatment systems.
   11         (d)Water quality enhancement areas are a valuable tool to
   12  assist governmental entities in satisfying the net improvement
   13  performance standard pursuant to s. 373.414(1)(b)3. to ensure
   14  significant reductions of pollutant loadings.
   15         (e)Water quality enhancement areas that provide water
   16  quality enhancement credits to governmental entities seeking
   17  permits under this part and to governmental entities seeking to
   18  meet an assigned basin management action plan allocation or
   19  reasonable assurance plan pursuant to s. 403.067 are considered
   20  an appropriate and permittable option.
   21         (2)DEFINITIONS.—As used in this section, the term:
   22         (a)“Enhancement credit” means a standard unit of measure
   23  which represents a quantity of pollutant removed.
   24         (b)“Governmental entity” means any political subdivision
   25  of the state, including any state agency, department, agency of
   26  the state, county, municipality, special district, school
   27  district, utility authority, or other authority or
   28  instrumentality, agency, unit, or department thereof.
   29         (c)“Water quality enhancement area” means a natural system
   30  constructed, operated, managed, and maintained pursuant to a
   31  permit issued under this section for the purpose of providing
   32  offsite, compensatory regional treatment for which enhancement
   33  credits may be provided.
   34         (d)“Water quality enhancement area permit” means a permit
   35  issued for a water quality enhancement area which authorizes the
   36  construction, operation, management, and maintenance of an
   37  enhancement area and the purchase and sale of enhancement
   38  credits.
   39         (3)WATER QUALITY ENHANCEMENT AREAS.—
   40         (a)An environmental resource permit issued by the
   41  department under this section must authorize the construction,
   42  operation, management, and maintenance of a water quality
   43  enhancement area.
   44         (b)Water quality enhancement credits may be sold only to
   45  governmental entities.
   46         (c)A water quality enhancement area must address
   47  contributions of pollutants for those parameters in the
   48  watershed in which the water quality enhancement area is located
   49  which do not meet state water quality standards.
   50         (d)A water quality enhancement area must use, create, or
   51  improve natural systems in order to improve water quality.
   52         (e)A governmental entity may use a water quality
   53  enhancement area for its own water quality needs. However, a
   54  governmental entity may not act as a sponsor to construct,
   55  operate, manage, or maintain a water quality enhancement area or
   56  market enhancement credits to third parties.
   57         (f)A local government may not require a permit or
   58  otherwise impose regulations governing the operation of a water
   59  quality enhancement area.
   60         (g)This section does not eliminate the obligation of an
   61  applicant for a water quality enhancement area permit or an
   62  applicant proposing to use enhancement credits to comply with
   63  all requirements of this part pertaining to adverse impacts to
   64  water quality in receiving waters and adjacent lands.
   65         (4)WATER QUALITY ENHANCEMENT AREA PERMIT.—
   66         (a)To obtain a water quality enhancement area permit, the
   67  applicant must provide reasonable assurances that the proposed
   68  water quality enhancement area will:
   69         1.Meet the requirements for issuance of an environmental
   70  resource permit;
   71         2.Benefit water quality in the watershed in which the
   72  water quality enhancement area is located;
   73         3.Meet defined performance or success criteria for the
   74  reduction of pollutants or other constituents that prevent
   75  receiving waters from meeting state water quality standards;
   76         4.Ensure long-term pollutant reduction through effective
   77  operation and maintenance in perpetuity by designation of a
   78  responsible long-term maintenance entity supported by an
   79  endowment or other long-term financial assurance sufficient to
   80  assure perpetual operation and maintenance;
   81         5.Demonstrate sufficient legal or equitable interest in
   82  the property to ensure access and perpetual protection and
   83  management of the land within the water quality enhancement
   84  area; and
   85         6.Provide for permanent preservation of the water quality
   86  enhancement area which meets the requirements of s. 704.06.
   87         (b)The water quality enhancement area permit must provide
   88  for the assessment, valuation, and award of credits based on
   89  units of pollutant removed.
   90         (c)The department shall base its determination of the
   91  award of enhancement credits on standard numerical models that
   92  establish the water quality enhancement area’s ability to remove
   93  pollutants.
   94         1.Where a basin management action plan exists for the
   95  watershed in which the water quality enhancement area is
   96  located, the applicant must use the same numerical models used
   97  for that basin management action plan in the water quality
   98  enhancement area permit application.
   99         2.If a basin management action plan does not exist for the
  100  watershed in which the water quality enhancement area is
  101  located, the applicant, with the approval of the department, may
  102  submit as part of the water quality enhancement area permit
  103  application model parameters and results used in a numerical
  104  model used by the department to develop a basin management
  105  action plan for a watershed with similar physical
  106  characteristics and pollutants as that where the proposed water
  107  quality enhancement area is to be located.
  108         3.If the department determines that its numerical model
  109  used for a basin management action plan is not appropriate for
  110  the proposed water quality enhancement area, the department must
  111  use a standard numerical model for the proposed water quality
  112  enhancement area.
  113         4.To assist the department in evaluating and determining
  114  enhancement credits, a water quality enhancement area permit
  115  application must include the numerical model results, including
  116  the parameters used to establish the water quality enhancement
  117  area’s efficacy. These parameters must include, but need not be
  118  limited to:
  119         a.Rainfall data over the longest period of record
  120  available, collected from the closest site to the proposed water
  121  quality enhancement area, preferably within the same drainage
  122  basin.
  123         b.Anticipated average annual water quality and quantity
  124  inflows to the proposed water quality enhancement area, based on
  125  published local data collected over a period of record which
  126  most closely matches the rainfall data under this paragraph.
  127         c.Site-specific conditions affecting the anticipated
  128  performance of the proposed water quality enhancement area,
  129  including the proposed treatment type and the anticipated
  130  associated reduction rates, as demonstrated by the performance
  131  of other areas where the treatment type has been established and
  132  operating over a minimum of two consecutive wet and dry seasons.
  133         d.Data collection stations approved in advance by the
  134  department at sites that the department deems sufficient to
  135  determine flows and local water quality conditions.
  136         e.An attenuation factor applied to the water quality
  137  enhancement area to account for the water quality enhancement
  138  area’s location within the watershed.
  139         (d)The issuance of a water quality enhancement area permit
  140  under this section does not preclude the responsibility of an
  141  applicant to obtain other applicable federal, state, and local
  142  permits for the construction activities associated with the
  143  water quality enhancement area.
  144         (5)MONITORING AND VERIFICATION.—
  145         (a)An applicant for a water quality enhancement area
  146  permit must propose a performance and success criteria
  147  monitoring and verification plan, with protocols to be
  148  implemented once the water quality enhancement area is
  149  operational. The protocols must be appropriate for the water
  150  quality enhancement area and sufficient to demonstrate that the
  151  area is meeting defined performance or success criteria for the
  152  reduction of pollutants or contaminants for which credits are
  153  awarded by the department.
  154         (b)If a permittee fails to comply with the conditions of a
  155  water quality enhancement area permit, the department must
  156  revoke the permittee’s ability to sell enhancement credits until
  157  the water quality enhancement area is compliant with the permit
  158  conditions.
  159         (6)ENHANCEMENT CREDITS.—
  160         (a)The department or water management district shall
  161  authorize the sale and use of enhancement credits to
  162  governmental entities to address adverse water quality impacts
  163  of activities regulated under this part or to assist
  164  governmental entities seeking to meet an assigned basin
  165  management action plan allocation or reasonable assurance plan
  166  pursuant to s. 403.067.
  167         (b)Water quality improvement projects using natural
  168  systems or land use modifications, including, but not limited
  169  to, constructed wetlands or minor impoundments that reduce
  170  pollutants to a receiving water body, may be used by an
  171  applicant to generate enhancement credits if approved by the
  172  department. Water quality enhancement areas may not be located
  173  on lands purchased for conservation pursuant to the Florida
  174  Forever Act or the Florida Preservation 2000 Act.
  175         (c)The department shall provide for and maintain a ledger
  176  that tracks the award, release, and use of enhancement credits.
  177         1.The operator of a water quality enhancement area shall
  178  notify the department of the amount of enhancement credits sold
  179  or used within 30 days after the date the enhancement credit
  180  transaction is completed.
  181         2.A water management district that authorizes applicants
  182  seeking permits under this part to use enhancement credits to
  183  address water quality impacts must report to the department the
  184  amount of enhancement credits used by the applicants.
  185         (d)Reductions in pollutant loading required under any
  186  state regulatory program are not eligible to be considered as
  187  enhancement credits.
  188         (e)Enhancement credits may not be used by point source
  189  dischargers to satisfy regulatory requirements other than those
  190  necessary to obtain an environmental resource permit for
  191  construction and operation of the surface water management
  192  system of the site.
  193         (f)Use of enhancement credits made available by water
  194  quality enhancement areas is voluntary.
  195         (g)Any landowner, discharger, or other responsible person
  196  regulated under this part or s. 403.067 implementing applicable
  197  management strategies specified in an adopted basin management
  198  action plan or reasonable assurance plan may not be required by
  199  any permit or other enforcement action to use enhancement
  200  credits to reduce pollutant loads to achieve the pollutant
  201  reductions established pursuant to s. 403.067.
  202         (h)A local government may not deny the use of enhancement
  203  credits due to the location of the water quality enhancement
  204  area outside the jurisdiction of the local government.
  205         (7)AUTHORITY.—The authority granted to the department
  206  under this section is supplemental to the authority granted
  207  under s. 403.067(8).
  208         (8)RULES.—The department may adopt rules to implement this
  209  section.
  210         Section 2. Paragraph (b) of subsection (1) and paragraphs
  211  (a), (b), and (d) of subsection (3) of section 403.892, Florida
  212  Statutes, are amended, and subsection (6) is added to that
  213  section, to read:
  214         403.892 Incentives for the use of graywater technologies.—
  215         (1) As used in this section, the term:
  216         (b) “Graywater” has the same meaning as in s.
  217  381.0065(2)(f) s. 381.0065(2)(e).
  218         (3) To qualify for the incentives under subsection (2), the
  219  developer or homebuilder must certify to the applicable
  220  governmental entity as part of its application for development
  221  approval or amendment of a development order that all of the
  222  following conditions are met:
  223         (a) The proposed or existing development has at least 25
  224  single-family residential homes that are either detached or
  225  multifamily dwellings. This paragraph does not apply to
  226  multifamily projects over five stories in height.
  227         (b) Each single-family residential home or residence will
  228  have its own residential graywater system that is dedicated for
  229  its use. Each residence forming part of a multifamily project
  230  will be serviced by either its own residential graywater system
  231  dedicated for its use or a master graywater collection and reuse
  232  system for the entire project.
  233         (d) The required maintenance of the graywater system will
  234  be the responsibility of the owner residential homeowner.
  235         (6)This section does not apply to multifamily projects
  236  more than five stories in height. Whether a dwelling is occupied
  237  by an owner is not an eligibility criterion for a developer or
  238  homebuilder to receive the incentives authorized pursuant to
  239  this section.
  240         Section 3. The Department of Environmental Protection shall
  241  adopt and modify rules adopted pursuant to ss. 373.4136 and
  242  373.414, Florida Statutes, to ensure that required financial
  243  assurances are equivalent and sufficient to provide for the
  244  long-term management of mitigation permitted under ss. 373.4136
  245  and 373.414, Florida Statutes. The department, in consultation
  246  with the water management districts, shall include the
  247  rulemaking required by this section in existing active
  248  rulemaking or shall complete rule development by June 30, 2023.
  249  
  250  ================= T I T L E  A M E N D M E N T ================
  251  And the title is amended as follows:
  252         Delete lines 5 - 34
  253  and insert:
  254         enhancement areas; providing requirements for water
  255         quality enhancement areas and permits; requiring
  256         applicants to propose performance and success criteria
  257         monitoring and verification plans that meet certain
  258         requirements; providing requirements for enhancement
  259         credits; requiring the Department of Environmental
  260         Protection to revoke a permit under certain
  261         conditions; requiring the department and water
  262         management districts to authorize the sale and use of
  263         enhancement credits to governmental entities to
  264         address certain adverse water quality impacts and to
  265         meet certain water quality requirements; requiring the
  266         department to maintain enhancement credit ledgers;
  267         providing construction; authorizing the department to
  268         adopt rules; amending s. 403.892, F.S.; correcting a
  269         cross-reference; revising the conditions that a
  270         developer or homebuilder must certify it meets as part
  271         of its application for development approval or
  272         amendment of a development order; providing
  273         applicability; requiring the department to adopt and
  274         modify specified rules, as applicable; providing
  275         requirements for such rulemaking;