Substitute House Bill 364 Summary

• Extends the sunset date for waterworks and sewage disposal system infrastructure improvement surcharges from December 31, 2025 to December 31, 2036.

• Creates exceptions to the moratorium on hazardous waste incinerator permit modifications, allowing permits for air emission control system upgrades on existing incinerators, and permits for capacity increases if the incinerator is at maximum operating capacity and has not previously been authorized for expansion.

• Establishes residential PACE (Property Assessed Clean Energy) lien priority structure, making residential PACE liens subordinate to all pre-existing liens and first mortgages recorded after the PACE lien, but superior to other liens recorded afterward.

• Exempts transient noncommunity water systems from asset management program requirements, well siting application requirements, and demonstrations of technical, managerial, and financial capability.

• Modifies waterworks infrastructure improvement surcharge application procedures and changes the maximum surcharge cap for waterworks companies from "four and one quarter per cent" to "four one-quarter per cent" of applicable rates.