A BILL TO BE ENTITLED
AN ACT to improve the efficiency of use of North CAROLINA'S water resources.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 143‑355(l) reads as rewritten:
"(l)	Local Water Supply Plans. – Each unit of local government that provides public water service or that plans to provide public water service and each large community water system shall, either individually or together with other units of local government and large community water systems, prepare a local water supply plan and submit it to the Department for approval. The Department shall provide technical assistance with the preparation of plans to units of local government and large community water systems upon request and to the extent that the Department has resources available to provide assistance. At a minimum, each unit of local government and large community water system shall include in local water supply plans all information that is readily available to it. Plans shall include present and projected population, industrial development, and water use within the service area; present and future water supplies; an estimate of the technical assistance that may be needed at the local level to address projected water needs; current and future water conservation and water reuse programs, including a plan for the reduction of long‑term per capita demand for potable water; a description of how the local government or large community water system will respond to drought and other water shortage emergencies and continue to meet essential public water supply needs during the emergency; and any other related information as the Department may require in the preparation of a State water supply plan. A unit of local government or large community water system shall submit a revised plan that specifies how the water system intends to address foreseeable future water needs when eighty percent (80%) of the water system's available water supply based on calendar year average daily demand has been allocated to current or prospective water users or the seasonal demand exceeds ninety percent (90%). Local plans shall be revised to reflect changes in relevant data and projections at least once each five years unless the Department requests more frequent revisions. The revised plan shall include the current and anticipated reliance by the local government unit or large community water system on surface water transfers as defined by G.S. 143‑215.22G. Local plans and revised plans shall be submitted to the Department once they have been approved by each unit of local government and large community water system that participated in the preparation of the plan."
SECTION 2.  G.S. 143‑355.4(b) reads as rewritten:
"(b)	To be eligible for State water infrastructure funds from the Drinking Water State Revolving Fund or the Drinking Water Reserve or any other grant or loan of funds allocated by the General Assembly whether the allocation of funds is to a State agency or to a nonprofit organization for the purpose of extending waterlines or expanding water treatment capacity, a local government or large community water system must demonstrate that the system:
…
(7)	Has implemented a consumer education program that emphasizes the importance of water conservation and that includes information on measures that residential customers may implement to reduce water consumption."
SECTION 3.  G.S. 159‑52(a) reads as rewritten:
"(a)	In determining whether a proposed bond issue shall be approved, the Commission may consider:
…
(13)	If the proposed bond issue is for a water system as described in G.S. 159‑48(b)(21), whether a unit has prepared a local water supply plan in compliance with G.S. 143‑355."
SECTION 4.  The Department of Environment and Natural Resources shall provide statewide outreach and technical assistance as needed regarding water efficiency, which shall include the development of best management practices for community water efficiency and conservation. These best management practices shall address at least all of the following practices:
(1)	Integrating water efficiency and conservation into water supply plans.
(2)	Conducting regular water audits to identify revenue and nonrevenue water and water losses.
(3)	Adopting water loss abatement programs.
(4)	Metering and submetering of existing multiunit residential, commercial, and industrial complexes.
(5)	Retrofitting fixtures, equipment, and irrigation systems to make them more water efficient.
(6)	Landscaping in a manner that conserves water use and is regionally appropriate.
(7)	Employing water reuse practices that include harvesting rainwater and using grey water.
(8)	Pricing water to achieve comprehensive conservation and adopting full‑cost accounting in line with the recommendation approved by the State Water Infrastructure Commission in November 2010.
SECTION 5.  Nothing in this act shall be construed to authorize the adoption of rules to implement this act.  Nothing in this act shall be construed or implemented in a way so as to negatively impact economic development.
SECTION 6.  This act becomes effective October 1, 2011.