MI SB1177

Establishes a groundwater dispute resolution program allowing owners of small-quantity wells to file complaints with the Department of Natural Resources if their wells fail due to high-capacity wells withdrawing 100,000+ gallons per day.

Requires the department to investigate complaints within 5 business days and attempt resolution within 14 days; if unresolved, agricultural well complaints are referred to the Department of Agriculture.

Authorizes the director to declare a groundwater dispute and issue orders requiring high-capacity well operators to provide temporary potable water and restrict groundwater withdrawals when scientifically based evidence supports the complaint.

Requires high-capacity well owners to provide compensation including reimbursement of well assessment costs, temporary water supply costs, well restoration, or alternative water supply; limits reimbursable investigation costs to $75,000.

Creates an aquifer protection revolving fund to implement the program and establishes civil penalties of up to $1,000 per day (maximum $50,000) for violations of director orders.