S.B. 75

1

SAFE DRINKING WATER ACT AMENDMENTS
2 1997 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: John P. Holmgren
5 AN ACT RELATING TO HEALTH AND ENVIRONMENT; AMENDING DRINKING WATER
6 PROGRAM PROVISIONS TO COMPLY WITH FEDERAL SAFE DRINKING WATER ACT
7 REQUIREMENTS FOR FINANCIAL ASSISTANCE, INCLUDING PROVIDING AGENCY
8 RULEMAKING AUTHORITY FOR CAPACITY DEVELOPMENT AND CREATION OF
9 A DRINKING WATER PROJECT REVOLVING LOAN FUND.
10 This act affects sections of Utah Code Annotated 1953 as follows:
11 AMENDS:
12 19-4-104, as last amended by Chapter 129, Laws of Utah 1991
13 73-10c-2, as last amended by Chapter 239, Laws of Utah 1993
14 73-10c-5, as last amended by Chapter 239, Laws of Utah 1993
15 Be it enacted by the Legislature of the state of Utah:
16 Section 1. Section 19-4-104 is amended to read:
17 19-4-104. Powers of board.
18 (1) The board may:
19 (a) make rules in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking
20 Act:
21 (i) establishing standards that prescribe the maximum contaminant levels in any public
22 water system and provide for monitoring, record-keeping, and reporting of water quality related
23 matters;
24 (ii) governing design, construction, operation, and maintenance of public water systems;
25 (iii) granting variances and exemptions to the requirements established under this chapter
26 that are not less stringent than those allowed under federal law; [and]
27 (iv) protecting watersheds and water sources used for public water systems; and

1 (v) governing capacity development in compliance with Section 1420 of the federal Safe
2 Drinking Water Act, 42 U.S.C.A. 300f et seq. h [ , in order to qualify for and receive full grant of
3 funds as provided under Section 1452 of the act ] h ;
4 (b) require the submission to the executive secretary of plans and specifications for
5 construction of, substantial addition to, or alteration of public water systems for review and
6 approval by the board before that action begins and require any modifications or impose any
7 conditions that may be necessary to carry out the purposes of this chapter;
8 (c) advise, consult, cooperate with, provide technical assistance to, and enter into
9 agreements, contracts, or cooperative arrangements with state, federal, or interstate agencies,
10 municipalities, local health departments, educational institutions, or others necessary to carry out
11 the purposes of this chapter and to support the laws, ordinances, rules, and regulations of local
12 jurisdictions;
13 (d) request and accept financial assistance from other public agencies, private entities, and
14 the federal government to carry out the purposes of this chapter;
15 (e) develop and implement an emergency plan to protect the public when declining
16 drinking water quality or quantity creates a serious health risk and issue emergency orders if a
17 health risk is imminent;
18 (f) authorize employees or agents of the department, after reasonable notice and
19 presentation of credentials, to enter any part of a public water system at reasonable times to inspect
20 the facilities and water quality records required by board rules, conduct sanitary surveys, take
21 samples, and investigate the standard of operation and service delivered by public water systems;
22 (g) meet the requirements of federal law related or pertaining to drinking water; and
23 (h) exercise all other incidental powers necessary to carry out the purpose of this chapter.
24 (2) (a) The board may adopt and enforce standards and establish fees for certification of
25 operators of any public water system.
26 (b) The board may not require certification of operators for a water system serving a
27 population of 800 or less except:
28 (i) to the extent required for compliance with Section 1419 of the federal Safe Drinking
29 Water Act, 42 U.S.C.A. 300f et seq. h [ , in order to qualify for and receive full grant of funds under
30 Section 1452 of the act ] h ; and
31 (ii) for a system that is required to treat its drinking water.

lilac-February 11, 1997

- 2 -

1 (c) The certification program shall be funded from certification and renewal fees.
2 (3) Routine extensions or repairs of existing public water systems that comply with the
3 rules and do not alter the system's ability to provide an adequate supply of water are exempt from
4 the provisions of Subsection (1)(b).
5 (4) (a) The board may adopt and enforce standards and establish fees for certification of
6 persons engaged in administering cross connection control programs or backflow prevention
7 assembly training, repair, and maintenance testing.
8 (b) The certification program shall be funded from certification and renewal fees.
9 Section 2. Section 73-10c-2 is amended to read:
10 73-10c-2. Definitions.
11 As used in this chapter:
12 (1) "Board" means the Board of Water Resources of the Department of Natural Resources.
13 (2) "Council" means the Water Development Coordinating Council created pursuant to
14 Section 63-34-3, and this chapter.
15 (3) "Credit enhancement agreement" means any agreement entered into under this chapter
16 between the Drinking Water Board or Water Quality Board, on behalf of the state, and a political
17 subdivision, for the purpose of providing methods and assistance to political subdivisions to
18 improve the security for and marketability of drinking water project obligations and wastewater
19 project obligations.
20 (4) "Drinking Water Board" means the Drinking Water Board created in Title 19, Chapter
21 4, Safe Drinking Water Act.
22 (5) "Drinking water or wastewater project obligation" means, as appropriate, any bond,
23 note, or other obligation of a political subdivision issued to finance all or part of the cost of
24 acquiring, constructing, expanding, upgrading, or improving a drinking water project or
25 wastewater project.
26 (6) "Drinking water project" means any work or facility necessary or desirable to provide
27 water for human consumption and other domestic uses, which has at least 15 service connections
28 or serves an average of 25 individuals daily for at least 60 days of the year and includes collection,
29 treatment, storage, and distribution facilities under the control of the operator and used primarily
30 with the system and collection pretreatment or storage facilities used primarily in connection with
31 the system but not under its control.

- 3 -

1 (7) "Financial assistance programs" means the various programs administered by the state
2 whereby loans, grants, and other forms of financial assistance are made available to political
3 subdivisions of this state to finance the costs of water and wastewater projects.
4 (8) "Hardship Grant Assessment" means the charge the Water Quality Board or Drinking
5 Water Board assesses to recipients of federal State Revolving Fund loans under 33 U.S.C.A. 1251
6 et seq., federal Clean Water Act, or 42 U.S.C.A. 300f et seq., federal Safe Drinking Water Act, in
7 lieu of or in addition to interest charged on these loans.
8 (9) "Political subdivision" means any county, city, town, improvement district, water
9 conservancy district, special service district, drainage district, metropolitan water district, irrigation
10 district, separate legal or administrative entity created under the Interlocal Cooperation Act, or any
11 other entity constituting a political subdivision under the laws of this state.
12 (10) "Security account" means the Water Development Security Account within the
13 General Fund created by this chapter.
14 (11) "Wastewater project" means any sewer, sewage system, sewage treatment facility,
15 lagoon, sewage collection facility and system and related pipelines and all similar systems, and
16 works and facilities necessary or desirable to collect, hold, cleanse, or purify any sewage or other
17 polluted waters of this state.
18 (12) "Waters of this state" means any stream, lake, pond, marsh, watercourse, waterway,
19 well, spring, irrigation system, drainage system, or other body or accumulation of water whether
20 surface, underground, natural, artificial, public, private, or other water resource of the state which
21 is contained within or flows in or through the state.
22 (13) "Water Quality Board" means the Water Quality Board created in Title 19, Chapter
23 5, Water Quality Act.
24 Section 3. Section 73-10c-5 is amended to read:
25 73-10c-5. Water Development Security Account created -- Water Quality Security
26 and Drinking Water Security Subaccounts created -- Use -- Revolving loan funds -- Hardship
27 grants.
28 (1) There is established a restricted account within the General Fund known as the Water
29 Development Security Account which includes the Water Quality Security Subaccount and the
30 Drinking Water Security Subaccount.
31 (2) The Water Quality Security Subaccount consists of three subaccounts:

- 4 -

1 (a) the Utah Wastewater Loan Program subaccount, which consists of:
2 (i) money appropriated to the subaccount by the Legislature;
3 (ii) money received from the principal repayment of loans made by the Water Quality
4 Board under Sections 73-10b-5, 73-10c-4, 73-10c-6, 73-10g-4, and 73-10h-4 from the Utah
5 Wastewater Loan Program subaccount;
6 (iii) except for payments, if any, necessary to comply with Section 148(f), Internal
7 Revenue Code of 1986, income earned after June 30, 1984, on proceeds of bonds authorized by
8 Sections 73-10b-5, 73-10g-4, and 73-10h-4 from the Utah Wastewater Loan subaccount; and
9 (iv) money deposited in the subaccount under any other law.
10 (b) The Utah State Revolving Fund for Wastewater Projects subaccount, which consists
11 of:
12 (i) money appropriated to the subaccount by the Legislature;
13 (ii) money received from the Utah Wastewater Loan Program subaccount applied to meet
14 match requirements for federal funds under 33 U.S.C.A 1251 et seq., federal Clean Water Act;
15 (iii) money received from the repayment of loans made by the Water Quality Board under
16 this section from the Utah State Revolving Fund for Wastewater Projects subaccount;
17 (iv) money deposited in the subaccount under any other law;
18 (v) money received under and subject to the restrictions of 33 U.S.C.A. 1251 et seq.,
19 federal Clean Water Act, and which is eligible for use in state revolving loan funds established to
20 meet the requirements of the act; and
21 (vi) all investment income derived from money in the Utah State Revolving Fund for
22 Wastewater Projects subaccount.
23 (c) The Hardship Grant Program for Wastewater Projects subaccount, which consists of:
24 (i) money appropriated to the subaccount by the Legislature;
25 (ii) money received as interest payment on loans made by the Water Quality Board under
26 Sections 73-10b-5, 73-10c-4, 73-10c-6, 73-10g-4, and 73-10h-4, from the Utah Wastewater Loan
27 Program subaccount;
28 (iii) money deposited in the subaccount under any other law;
29 (iv) the Hardship Grant Assessment charged to State Revolving Fund loan recipients; and
30 (v) all investment income derived from money in the Utah Wastewater Loan Program
31 subaccount or the Hardship Grant Program for Wastewater Projects subaccount.

- 5 -

1 (3) The Drinking Water Security Subaccount consists of [two] three subaccounts:
2 (a) the Drinking Water Loan Program subaccount, which consists of:
3 (i) money appropriated to the subaccount by the Legislature;
4 (ii) money received from the principal repayment of loans made by the Drinking Water
5 Board under Sections 73-10b-6, 73-10c-4, 73-10c-6, 73-10g-5, and 73-10h-5, from the Drinking
6 Water Loan Program subaccount;
7 (iii) except for payments, if any, necessary to comply with Section 148(f), Internal
8 Revenue Code of 1986, income earned after June 30, 1984, on proceeds of bonds authorized by
9 Sections 73-10b-6, 73-10g-5, and 73-10h-5 from the Drinking Water Loan Program subaccount;
10 and
11 (iv) money deposited in the subaccount under any other law.
12 (b) The State Revolving Fund for Drinking Water Projects subaccount, which consists of:
13 (i) money appropriated to the subaccount by the Legislature;
14 (ii) money received from the Utah Drinking Water Loan Program subaccount and applied
15 to meet match requirements for federal funds under 42 U.S.C.A. 300f et seq., Safe Drinking Water
16 Act;
17 (iii) money received from the repayment of loans made by the Drinking Water Board
18 under this section from the State Revolving Fund for Drinking Water Projects subaccount;
19 (iv) money deposited in the subaccount under any other law;
20 (v) money received under and subject to the restrictions of 42 U.S.C.A. 300f et seq.,
21 federal Safe Drinking Water Act, and which is eligible for use in state revolving loan funds
22 established to meet the requirements of the act; and
23 (vi) all investment income derived from money in the State Revolving Fund for Drinking
24 Water Projects subaccount.
25 [(b)] (c) the Hardship Grant Program for Drinking Water Projects subaccount, which
26 consists of:
27 (i) money appropriated to the subaccount by the Legislature;
28 (ii) money received from the interest repayment of loans made by the Drinking Water
29 Board under Sections 73-10b-6, 73-10c-5, 73-10c-6, 73-10g-5, and 73-10h-5, from the Drinking
30 Water Loan Program subaccount;
31 (iii) money deposited in the subaccount under any other law; [and]

- 6 -

1 (iv) the Hardship Grant Assessment charged to State Revolving Fund loan recipients; and
2 [(iv)] (v) all investment income derived from money in the Drinking Water Loan Program
3 subaccount or the Hardship Grant Program for Drinking Water Projects subaccount.
4 (4) State monies in the Water Quality Security Subaccount and the Drinking Water
5 Security Subaccount may be applied to meet match requirements for federal funds under 33
6 U.S.C.A. 1251 et seq., federal Clean Water Act and 42 U.S.C.A. 300f et seq., federal Safe
7 Drinking Water Act.
8 (5) If the money in the security account is insufficient for the purposes for which the
9 security account is established, the council shall ask the governor to request the Legislature to
10 appropriate additional money to the account.
11 (6) (a) The Drinking Water Board and Water Quality Board may use the money in the
12 appropriate security account subaccount only to the extent of the money available in the account,
13 for the support of drinking water projects and wastewater projects in accordance with the terms
14 of credit enhancement agreements, grant agreements, and loan agreements.
15 (b) Repayments to the security account from loans made by the acting board, monies
16 allocated by the Legislature, and interest accrued on these monies shall remain available for use
17 by that board for further project funding.
18 (7) Funds received under Section 1452 of the federal Safe Drinking Water Act, 42
19 U.S.C.A. 300f et seq., may be used for providing financial assistance to community water systems
20 and nonprofit noncommunity water systems as defined and within the limits of that act.




Legislative Review Note
as of 10-22-96 11:09 AM

A limited legal review of this bill raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

Committee Note

The Health and Environment Interim Committee recommended this bill.

- 7 -