1. (a) No well construction or water system design shall commence on a proposed non-community water system until a concept approval is issued by the department.

2. (b) The issuance of a concept approval for a proposed non-community water system shall be based on the following criteria:

   1. (1) Water service from another approved PWS is not available, determined based on the willingness of the potential provider to offer service and a comparison of the overall project cost to extend water service versus the overall project cost of constructing the proposed non-community water system;
   2. (2) The method of operation of the proposed non-community water system is adequate to ensure that all applicable requirements of subtitle Env-Dw are met;
   3. (3) The proposed non-community water system is consistent with state, regional, or local water resource, or water supply management plans for the area;
   4. (4) The proposed non-community water system ownership and operation is consistent with other New Hampshire public utility commission (PUC) franchises in the area;
   5. (5) The proposed non-community water system will use the best feasible source of water available; and
   6. (6) The use of surface water shall not be allowed as a source water for any non-community water system.
3. (c) For purposes of this section, the best feasible source of water shall be determined based on a comparison of alternatives based on project cost and other technical factors. Such a comparison shall include capital and operational costs to provide an equivalent level of safe and reliable water supply service from an entity having adequate financial and managerial capability.

4. (d) Favorable criteria for the best feasible source of water concept shall include an interconnection with any of the following:

   1. (1) Larger PWSs;
   2. (2) PWSs that have full time employees who have higher levels of training and experience in the water works profession;
   3. (3) PWSs with large volume water storage tank(s); and
   4. (4) PWSs that have available equipment, controls, and communications that better ensure the reliability of operations and water quality.

Source. (See Revision Note at part heading for Env-Dw 406) #10613, eff 6-1-14; ss by #14158, eff 12-25-24 (formerly Env-Dw 406.04)