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EGLE holds public hearing on draft NPDES permit for KB Dairy in Gratiot County
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Summary
EGLE staff presented a draft NPDES surface-water discharge permit for KB Dairy LLC in Gratiot County; the public offered mixed testimony—some urged denial and groundwater permits citing shared infrastructure with DeSager Dairy, while others, including industry groups and local supporters, urged approval. The written comment period closes Feb. 13, 2026.
State environmental regulators presented a draft NPDES surface-water discharge permit for KB Dairy LLC at a virtual public hearing and invited public comments through Feb. 13, 2026.
Rebecca Mauer, an EGLE permit writer in the Water Resources Division, said the department is proposing an individual NPDES CAFO (concentrated animal feeding operation) permit under Part 31 of the Natural Resources and Environmental Protection Act and related administrative rules (Part 21 and Part 4 water quality standards). Mauer said KB Dairys application proposes to house an average of about 2,000 mature dairy cattle and up to 3,450 at maximum and that the applicant plans to convey manure to an on-site anaerobic digester, return effluent to storage structures and transfer/manifests manure for land application. The draft permit requires quarterly land-application summary reports to be posted via EGLEs myEnviro portal, Mauer said.
Why it matters: Neighbors, environmental groups and legal advocates argued that the proposed facility sits adjacent to the existing DeSager Dairy and shared infrastructure and financing records raise questions about whether the operations effectively function as one enterprise. Petitioners said that practical integration could exacerbate cumulative impacts in the Pine River watershed and warrant groundwater permits, more site-specific conditions and mandatory groundwater monitoring rather than separate individual permits.
What EGLE said: Andrea Hernandez (Permit Section Manager and identified as the decision maker for the application) and staff repeatedly noted that KB Dairy and DeSager are presented as separate legal entities and said EGLEs authority requires issuance of a permit when an applicants submission meets statutory and rule requirements; staff said they will consider new information from public comments before final action. EGLE staff clarified the draft permit does not authorize discharge to groundwater and, as written, does not require direct groundwater monitoring. On manifesting, Mauer said the permit requires land-application summary forms and public posting of field locations via myEnviro; compliance staff said inspections and enforcement actions are the tools EGLE uses to verify proper land application.
Arguments from the hearing: Opponents called for denial or additional conditions. Chelsea Faber of Flow Water Advocates and Elizabeth Holmes of the Socially Responsible Agriculture Project said records (including mortgage documents referenced in written comments) suggest shared ownership or financing ties and that the digester pipeline and shared flows should be evaluated as integrated infrastructure. Cheryl Rubel and several nearby residents described persistent odors, observed discharges, and concerns about groundwater and well water. They cited digestates higher water-solubility and urged site-specific conservation practices, mandatory groundwater monitoring, and revisions to nutrient application methods.
Supporters and industry voices countered that the applicants are local farmers and that the planned engineering and management measures meet state requirements. Justin Olsen of Dairy Farmers of America and several local veterinarians and agribusiness representatives described the KB Dairy plan as including recordkeeping, nutrient management plans, engineered storage and NRCS standards and urged EGLE to approve the permit. Applicant Kelsey DeSager said the project is a family enterprise, that she and her husband intend to be good neighbors, and that they have worked with professionals to meet permitting requirements.
Technical points EGLE staff provided in response: EGLE confirmed anaerobic digestion may reduce some bacterial load but does not reliably reduce nutrient content or eliminate all pathogens; the presence of a pipeline to convey manure to a digester does not, by itself, change the permit classification; and manifesting rules require the permittee to certify recipients have the necessary nutrient analyses and soil testing before transfer. EGLE said it can adapt permit templates and conditions over time as legally allowed and that the department reviews comments before finalizing permit language.
What happens next: EGLE will accept written comments through midnight on Feb. 13, 2026 (the department corrected an earlier inconsistent date during the hearing). Written comments can be submitted via EGLEs myEnviro portal or by mail to Rebecca Mauer, Permit Section, Water Resources Division, Department of Environment, Great Lakes, and Energy, PO Box 30458, Lansing, Michigan 48909-7958. Andrea Hernandez was identified on the record as the decision maker for the application; EGLE staff said they will review comments and may modify draft conditions before making a determination.
Key quotes:
"Anaerobic digestion does reduce some bacterial load but it doesn't reduce the nutrient content or much of the volume," EGLE staff said during the Q&A.
"The department received a complete application that met all the regulatory requirements, and we are required to issue permits if they meet those requirements," EGLE staff said when asked whether alternatives to issuing a permit had been considered.
"KB Dairy is therefore an effective expansion of DeSager Dairy, regardless of personal configuration or corporate ownership," Flow Water Advocates said in a public comment challenging EGLEs separate-entity approach.
The hearing record will be part of EGLEs administrative record for the permit; staff said recording of tonights session will be posted on EGLEs YouTube channel in the days after the hearing.
