Substitute House Bill No. 7247 mandates the establishment of a working group by the majority leaders' roundtable group on affordable housing to evaluate and provide recommendations on sewage disposal regulatory requirements, including nitrogen discharge limits, and their implications for housing development, public health, and the environment. The working group will consist of various stakeholders, including commissioners from the Departments of Public Health, Energy and Environmental Protection, and Housing, as well as representatives from relevant associations. The group is required to submit a report by February 1, 2026, detailing their findings and recommendations to the Commissioner of Public Health and the relevant legislative committees.

Additionally, the bill modifies the timeline for the Department of Public Health (DPH) to amend regulations concerning small community sewerage systems and household and small commercial subsurface sewage disposal systems. The deadline for DPH to post a notice of intent to amend these regulations has been extended from July 1, 2025, to July 1, 2026, allowing for consultation with the newly formed working group and consideration of their recommendations. This change aims to ensure a more informed regulatory process that balances housing development needs with public health and environmental protection.