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S 212

An act relating to potable water supply and wastewater system connections

2025-2026 Regular Session Introduced by Anne Watson

Creates a state-regulated framework for permitting potable water and wastewater connections, with general permits, municipal delegation, and cost-recovery fees.

Senate Message: Signed by Governor June 18, 2026
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Bill Summary · S 212

Summary of S.212 (2025-2026) – An act relating to potable water supply and wastewater system connections (Vermont)

Purpose and overall intent
- Establishes a comprehensive, state-regulated framework for the construction, replacement, modification, and operation of potable water supplies and wastewater systems to protect human health and the environment (potable water, surface water, and groundwater).
- Enables delegation of certain permitting duties to municipalities that demonstrate capacity to administer the review of potable water supply and wastewater system connections under general permits.

Key provisions and changes

1) Definitions and scope (Sec. 1–Sec. 3)
- Clarifies purpose of the chapter and enables delegation to municipalities for chapter review of potable water supply and wastewater system connections under general permits.
- Defines:
- Potable water supply: source, treatment, and conveyance equipment for human-use water, including service connections to public systems; excludes internal building piping/plumbing except certain integral components (e.g., pump stations, storage tanks) and excludes water supplies regulated under chapter 56.
- Wastewater system: piping, pumping, treatment, or disposal for sanitary wastewater and used water, including process wastewater; excludes internal building plumbing except for integral mechanical systems; excludes wastewater systems exclusively for animal manure; for this chapter, “wastewater system” also refers to soil-based disposal systems of less than 6,500 gallons per day or any size of sewerage sanitary sewer connection.

2) Permitting and design review (Sec. 3)
- Requires permits for new or modified connections to potable water supply or wastewater systems.
- Deference to licensed designer certifications for engineering design/judgment to streamline Agency review, while preserving Secretary’s authority to review and enforce design standards.
- Special provision for downtown development districts: the Secretary shall issue a permit for a new or modified water/sewer connection in such districts upon certification by a licensed designer and an allocation letter from water/sewer system owner, subject to certain exceptions (capacity constraints or audit findings showing non-compliance).
- Establishes a general permit for potable water and wastewater connections and authorizes deference to licensed designer certifications under the general permit; authorizes general permitting programs for other low-risk, low-impact, low-complexity activities.

3) Delegation of permitting authority to municipalities (Sec. 4)
- Secretary may delegate:
- Full implementation of this chapter to a municipality, excluding sections 1975 and 1978.
- Or delegation limited to certain circumstances (e.g., subdivision-related sewer/water services) when specific conditions are met.
- Delegation prerequisites include:
- A municipal process for accepting/reviewing/issuing permits per Secretary rules.
- Hiring or retaining a licensed designer for technical work.
- Ability to enforce under Chapter 201.
- Annual reporting to the Secretary.
- Assurance of adequate capacity before permitting water/sewer connections.
- Compliance with rules adopted under the chapter.
- If delegated, municipalities must incorporate the Secretary’s general permit requirements and defer to licensed designer applications.
- The Secretary retains authority to review municipal implementation on a random basis, complaint-driven basis, or on their own motion.

4) Fees and municipal cost recovery (Sec. 5)
- Establishes agency permit-related fees (Section 10 V.S.A. Chapter 64 references) and clarifies municipal exemptions from most Agency fees, with cost-recovery options through user fees for municipalities.
- Municipalities conducting technical reviews or approvals may charge a fee for municipal services, but must pay a $100 administrative processing fee to the Secretary when submitting documentation of municipally permitted projects.
- Specifies various fee schedules for potable water and wastewater permits, including:
- Original applications/major amendments: tiered by design flow (e.g., up to 560 gpd = $306.25; 560–2,000 gpd = $870; 2,000–6,500 gpd = $3,000; 6,500–10,000 gpd = $7,500; over 10,000 gpd = $13,500).
- Minor amendments: $150; minor projects: $270.
- Special case: neighborhood (Vermont neighborhood designated under 24 V.S.A. chapter 76A) caps fees at $50 if sewer capacity allocation has been received from an approved municipal system (not applicable to duly delegated municipal programs).
- General permit coverage: scaled fees based on highest proposed design flow for the connection (ranges from $250 to $5,000, depending on flow).

5) Implementation timeline and repeal of exemptions (Sec. 6)
- By December 1, 2027: Secretary must publish the general permit and the manual required under the general-permit provision.
- Starting January 1, 2028: Secretary begins accepting certifications for connections under the general permit.
- Repeals certain Wastewater System and Potable Water Supply Rules subsections and references related to full municipal delegation, reflecting a shift away from full delegation authority (effective January 1, 2028).
- Notes that references to full delegation in Rule Chapter 6 will no longer be applicable post-repeal.

6) Effective date (Sec. 7)
- Effective date of July 1, 2026.

Affected parties and impacts

  • Municipalities: Eligible for delegation of permitting authority; must demonstrate capacity and comply with designation requirements; may recover costs through fees; under delegation, must implement the Secretary’s general permit and accept design certifications from licensed designers.
  • Licensed designers: Role expanded to certified design work and authority under general permits; deference in permitting decisions to their certifications where appropriate.
  • Private developers, builders, and property owners: Subject to new permit requirements for potable water and wastewater connections; potential changes in timelines and fees; may benefit from streamlined processes via general permits and municipal delegation.
  • Vermont Agency of Natural Resources (ANR) and the Department of Environmental Conservation: Responsible for implementing the general permit, establishing manuals/guidance, and overseeing compliance, enforcement, and periodic reviews of municipal delegation.
  • Ratepayers and communities: Fees structured to recover program costs; municipal cost-recovery mechanisms could influence connection charges.

Implementation status and process
- Passed by the Senate with amendment on March 12, 2026; subsequently moved through House and Senate committee processes with favorable reports and amendments.
- Referred to Ways and Means for potential fiscal considerations; final enactment would require passage by the House and signature by the Governor.
- Implementation planned with a phased approach: general permit development by 12/1/2027, with certifications under the general permit beginning 1/1/2028.

Overall, S.212 modernizes Vermont’s regulatory approach to potable water and wastewater system connections, emphasizes risk-based permitting via general permits, enables municipal delegation under defined conditions, and reorganizes cost-recovery through a structured permit-fee framework.

Compiled from official sources — confirm details with the bill’s official record.

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