Braun signs orders calling for state water management plan, Rare Earth Recovery Council

Years after plans for a massive state-led business park catapulted Indiana into a debate over water usage, Gov. Mike Braun on Monday signed an executive order requiring the state to develop a statewide water inventory and management plan.

The governor also signed an executive order requiring the establishment of the Indiana Rare Earth Recovery Council, a body that will “spearhead efforts to reclaim rare earth elements and critical materials from legacy coal byproducts.”

Water management order

Braun is directing Suzanne Jaworowski, the state’s energy and natural resources secretary, to build Indiana’s first statewide framework to monitor and manage water inventory and plan for future development. Many experts and policymakers have said a statewide water management plan has been overdue for years.

Under the order, a water inventory report must be completed by the end of 2026 and an online platform will be developed for Hoosiers to access water-usage metrics, growth projections and educational resources.

“Proper water management is essential to growing our economy without compromising on Hoosiers’ resource needs in their communities,” Braun said in a written statement. “This new thorough inventory and water planning framework will ensure Indiana is ready to support new jobs and growing communities, with full transparency for the public built into the new system.”

The order emphasizes that state planning will be broken into regions, aligning with experts’ calls for a plan that offers solutions for each of the state’s several water basins. Planning should will include utilities, cities and towns, industry and other water users.

When it comes to water, Indiana’s variety of sources, availability and challenges from north to south mean no one-size-fits-all plan could be applied statewide, experts say.

The Indiana Chamber of Commerce released a water study last August that found Indiana has a “plentiful” but unevenly distributed water supply that will require a coordinated effort to manage in the future. A state study focused on the Wabash watershed backed up that analysis. 

The lack of Indiana Code related to water management was highlighted when state economic development officials sought to pipe water to the LEAP Research and Innovation District in Boone County. (LEAP stands for Limitless Exploration/Advanced Pace.)

The area did not have the water capacity to support the massive planned business park’s development beyond initial committed investments, never mind its expected full buildout. So, state officials first considered a 35-mile Wabash River aquifer pipeline, which drew protests from Wabash watershed residents worried about state government overreaching and tapping out their water source.

The state instead elected to pursue an extension of the Citizens Energy system and has approved $325 million in loans and additional bond support to help underwrite the extension.

As the framework is built up, the executive order says the plan must include recommendations for additional water utility monitoring. Experts have said the state lacks the data needed to develop informed policies regarding water availability and levels, future water demand, climate change impacts, environmental flows, and water quality.

Another water element

A bill waiting for Braun’s approval would codify the state’s first set of major water withdrawal regulations. This bill would complement Braun’s executive order by providing the state with more oversight on major water projects.

Braun must act on the bill by Tuesday or it will be become law without his signature. 

Under the Senate Enrolled Act 4, utility companies or developers would need to apply and obtain approval to build infrastructure that would pipe more than 10 million gallons of water per day to a location at least 30 miles away. 

Sen. Eric Koch, R-Bedford, authored the legislation to build a framework for how the state deals with water quantity-related issues moving forward. A key characteristic of his bill is that the regulation will be focused on the state’s 10 watersheds instead of municipal or county lines.

“This bill isn’t about LEAP,” Koch said during a March committee hearing. “It’s about the next LEAP.”

Rare earth element recover order

In announcing his order to establish the Indiana Rare Earth Recovery Council, Braun said he planned to “position Indiana as a national leader in rare earth element recovery” by reclaiming them from legacy coal byproducts.

“American advanced manufacturing can’t be dependent on China for rare earth elements,” he said in a written statement. “Indiana is stepping up with our new Rare Earth Recovery Council to leverage our coal sites to build an American domestic supply chain for these critical materials that power the modern economy.”

The council is expected to work with industry partners and educational institutions to “deploy innovative technologies, evaluate opportunities for localized refining and build a new supply chain,” he said.

“Indiana will not only lead in cleaning up abandoned mine lands but will also position itself as a strategic source of rare earth elements, making American advanced manufacturing less dependent on the Chinese Communist Party,” he said.