House Bill 570 - Water/Wastewater Public Enterprise Reform

• Creates the Viable Utility Reserve within the Water Infrastructure Fund to provide grants to local government water and wastewater systems for infrastructure projects, rate studies, and merger/regionalization feasibility studies.

• Imposes a $1.00 monthly surcharge on each active water and wastewater account (residential and nonresidential) to fund the Viable Utility Reserve, with collections remitted quarterly by local government units; surcharge expires June 30, 2029.

• Requires the Local Government Commission to approve all Viable Utility Reserve grants and allows the Department of Environmental Quality to identify "distressed units" that must conduct asset assessments, rate studies, and participate in mandatory training programs.

• Establishes a statutory process for merger and dissolution of water and wastewater systems under Chapter 162A, requiring Environmental Management Commission approval and public hearings, with grants up to $15 million per unit or $30 million for merged units.

• Authorizes interlocal cooperation agreements between local government units for water and wastewater services and directs the Department of Environmental Quality to study subbasin water transfer requirements by October 1, 2019.