NACWA Legislative Update March 2005

To: Members, Affiliates, Legislative Policy Committee,
Legal Affairs Committee, Clean Water Funding Task Force
From: National Office
Date: April 5, 2005

This edition of the Association of Metropolitan Sewerage Agencies’ (AMSA) Legislative Update, current through March 31, 2005, provides information on the activities of the 109th Congress including anticipated legislative action of interest to the nation’s publicly owned treatment works (POTWs). For more detailed information regarding AMSA activities related to specific legislation, click on the web links at the end of selected news items, or contact AMSA’s Lee Garrigan at 202/833-4655 or lgarrigan@amsa-cleanwater.org.

AMSA members can track congressional action on individual bills through AMSA’s Bill Tracker. The Tracker provides a direct link from AMSA’s website to congressional websites where bill texts and summaries are posted, allowing members to research relevant federal legislation. The site also includes the status and most recent action taken on all federal legislation through a link to the Library of Congress’ “Thomas” website. To renew or bookmark the Bill Tracker, go to http://www.amsa-cleanwater.org/private/legreg/legupdate/leg_tracker.cfm.

Environmental Protection

AMSA Co -Sponsors Congressional Blending Briefing
AMSA held a successful March 16 informational briefing on blending for Capitol Hill staff in conjunction with the Water Environment Research Foundation (WERF) and the Water Environment Federation (WEF). Participants included Dave Williams, AMSA Board Member and Director of Wastewater at the East Bay Municipal Utility District, Oakland, Calif., and Bob Matthews, Senior Vice President, with AMSA Private Affiliate Camp Dresser & McKee, Inc., and Chair of WEF’s Regulatory Policy Committee. AMSA member Bill Elmore, Chief Operating Officer of the Knoxville Utilities Board, Tenn. And Williams met with selected Hill staff following the briefing.

Advance notice of the briefing was included in a letter from Chairman John J. Duncan, Jr., Chairman of the Subcommittee on Water Resources and Environment, to his House colleagues (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-03-14dcollts.pdf) and in a letter from AMSA to all Members of Congress that transmitted the March 7 Technical Review of the Katonak-Rose Report (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-03-08CongBlltrep.pdf) by Adrienne Nemura, P.E. The report was made possible through the government affairs rapid response fund that is part of AMSA’s Targeted Action Fund. The November 2003 Katonak-Rose Report on Public Health Risks Associated with Wastewater Blending has been widely used by the Natural Resources Defense Council (NRDC) and other activist organizations to oppose EPA’s proposed blending policy. The briefing was in advance of an upcoming hearing on blending scheduled for April 13 before the House Water Resources and Environment Subcommittee.

Earlier this year, AMSA re-energized a broad coalition of national, regional and state organizations that jointly sent a January 21, 2005 letter (http://www.amsa-cleanwater.org/private/reg_outreach.cfm) to EPA in support of the Agency’s November 7, 2003 blending policy. That letter also was distributed to Members of Congress and their environmental staff. AMSA also updated and sent a “Fact-Fiction” one-pager (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-01-21Blendfandf.pdf) to all Members of Congress as part of the Association’s ongoing effort to set the record straight on the blending issue.

Anti-Blending Bill Gains More Co-sponsors
A House bill that would amend the Federal Water Pollution Control Act to prohibit publicly owned treatment works from blending except under extreme circumstances has garnered the support of 62 Members of Congress, including the Ranking Member of the House Water Resources and Environment Subcommittee. The Save Our Waters From Sewage Act (H.R. 1126) was introduced March 3 by Reps. Bart Stupak (D-MI), Mark Kirk (R-IL), Frank Pallone, Jr. (D-NJ), and E. Clay Shaw, Jr. (R-FL) at a news conference along with several environmental activists. The text of the bill and a summary are posted under Environmental Protection on AMSA’s Bill Tracker (http://www.amsa-cleanwater.org/private/legreg/legupdate/leg_tracker.cfm).

Reps. Stupak, Shaw, and Pallone began their anti-blending campaign with a February 22 bipartisan letter to U.S. Environmental Protection Agency (EPA) Acting Administrator Stephen Johnson opposing EPA’s proposed policy guidance on blending (http://www.amsa-cleanwater.org/private/leg_outreach.cfm). The letter was signed by 135 members of the House. A similar letter organized last year received support from just 50 representatives. The representatives also sponsored a congressional briefing earlier this year that included the Natural Resources Defense Council (NRDC), several shell fishing associations and a professor of public health from Tufts University who provided the anti-blending perspective.

AMSA continues to educate and inform Members of Congress on the blending issue and is urging lawmakers not to sign onto H.R. 1126.

Budget and Appropriations

Members of Congress Address CWSRF Cut in House, Senate Budget Resolutions
The Senate passed the 2006 Budget Resolution (S.Con.Res.18) 51-49 on March 17. The Senate must now appoint conferees to the House-Senate Conference Committee. Included in the Resolution is Sec. 524 (http://www.senate.gov/~budget/republican/pressarchive/FY06Language1.pdf - see page 97), a Sense of the Senate regarding clean water infrastructure. Section 524, which was offered as an amendment by Senators Lincoln Chafee (R-RI), Paul Sarbanes (D-MD), and James Inhofe (R-OK), states that the funding level for the clean water state revolving fund (CWSRF) should be increased to $1.35 billion for fiscal year 2006.

The House also passed on March 17 its 2006 Budget Resolution (H.Con.Res.95) by a vote of 218 – 214. The Natural Resources and Environment function (Function 300) in the Resolution was increased by $1.1 billion. This account funds water resources, conservation, land management, pollution control and abatement, and recreational resources. It has been surmised that Function 300 was increased, in part, to restore funds to the SRF. AMSA urged a minimum of $2.5 billion combined for the clean water and drinking water state revolving funds in a letter (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-03-08CWDWfdgltr.pdf) to the House Budget Committee leadership signed by a diverse group of municipal, state, environmental, and stakeholder organizations. The letter states that the $2.5 billion for the two SRFs is a step toward the creation of a long-term funding solution to address the wastewater and drinking water needs of local communities. AMSA has supplemented its advocacy efforts with press releases to important new media outlets (www.amsa-cleanwater.org/advocacy/releases.cfm).

House Committee Leadership Sends Bipartisan SRF Support Letter to Budget Chairman
Chairman John J. Duncan (R-TN) and Ranking Member Eddie Bernice Johnson (D- TX) of the House Transportation & Infrastructure Subcommittee on Water Resources and Environment were joined on a February 25 bipartisan letter of support for the clean water and drinking water state revolving funds (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-02-25SRFltr.pdf) by Chairman Paul E. Gillmor and Ranking Member Hilda L. Solis of the House Energy and Commerce Subcommittee on Environment and Hazardous Materials. The letter followed a February 16 hearing on EPA’s fiscal year (FY) 2006 budget, which the Bush Administration has proposed to cut by $500 million (from $8.1 billion to $7.6 billion). Testifying before the Subcommittee was EPA’s Assistant Administrator for Water, Benjamin Grumbles, who defended the Administration’s proposed funding cut of $361 million for the Clean Water State Revolving Fund (CWSRF) in FY ’06 (from $1.09 billion to $730 million). Grumbles stated that the widely accepted funding gap for wastewater infrastructure of $21 billion per year could be virtually eliminated through water conservation, asset management and rate increases. Grumbles’ testimony was met with sharp criticism by several members of the Subcommittee including Chairman Duncan.

“The SRF program is one of the most cost-effective programs in government,” said Chairman Duncan, at the hearing. “For every dollar the Federal government invests, more than two dollars is made available for environmental improvements.

“However, studies by both EPA and the Congressional Budget Offices have confirmed that the gap between current levels of spending and the necessary level of investment in wastewater infrastructure is staggering and we need to double our efforts to close that gap.

“The consequences of failing to invest are severe. Without upgrades to wastewater treatment plants, not only will we fail to make progress in water quality, but as our population increases, we will lose the gains we have made over the past 30 years.

“No one wants to go back to the days when rivers caught on fire,” Duncan said.

AMSA sent out a press release (http://www.amsa-cleanwater.org/advocacy/releases/021605.cfm) the same day as the hearing urging Congress to fully fund the CWSRF in the short-term, and work toward a dedicated trust fund to guarantee clean and safe water for the long-term.

Senators Challenge Clean Water Program Cuts in Hearing and Letters
The Senate Environment and Public Works (EPW) Committee held a February 9 hearing on the U.S. Environmental Protection Agency’s (EPA) proposed budget for fiscal year (FY) 2006. Senators asked EPA Administrator-elect Stephen Johnson to defend the Administration’s proposal to cut the clean water state revolving fund (CWSRF) by one-third, from $1.09 billion in FY 2005 to $730 million in FY 2006. Johnson defended the cut by stating that the $730 million proposed budget for FY 2006 maintains the Bush administration’s commitment to providing a total of $6.8 billion in capitalization by 2011.

EPW chairman James Inhofe (R-OK) sent a letter March 7 to Senate Budget Committee chairman Judd Gregg (R-NH) and ranking member Kent Conrad (D-ND) requesting additional funding for both the clean water and drinking water SRFs (http://epw.senate.gov/pressitem.cfm?id=232911&party=rep).

Senator Inhofe wrote, “This nation is truly on the verge of a crisis. Systems are aging and regulatory costs are increasing. The Congress simply must do its part to meet these rising costs. I would appreciate your support for these two important programs.”

In a separate effort, Lincoln Chafee (R-RI), chairman of the Senate Fisheries Wildlife and Water Subcommittee, EPW Committee chairman James Jeffords (I-VT), and Paul Sarbanes (D-MD) gathered the signatures of 42 senators on a March 3 letter to Sens. Gregg and Conrad asking for $1.35 billion for the clean water SRF and $850 million for the drinking water SRF (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-03-03DCltr.pdf).

In support of the Senate letters, AMSA coordinated a March 4 letter signed by 34 member organizations of the Water Infrastructure Network (WIN) to the leadership of the Senate Budget Committee (http://www.amsa-cleanwater.org/advocacy/co/2005-03-04WINltr.pdf). AMSA will continue to work with members of Congress and the many interested parties to retain the historical levels of funding for the SRF programs.

EPA Budget Moves to Appropriations Subcommittees on Interior
The House and Senate Appropriations Committees have reorganized, abolishing the VA-HUD & Independent Agencies Subcommittee that had jurisdiction over the budgets of the U.S. Environmental Protection Agency (EPA) and the White House Council on Environmental Quality (CEQ). In the House, the two agencies were moved to the Appropriations Subcommittee on Interior, Environment and Related Agencies. The Subcommittee will hold a hearing on EPA’s budget on April 6. The following week, the Subcommittee will receive testimony from Members of Congress on April 13, where representatives will have an opportunity to voice their support for various programs and individual projects.

In the Senate, the budgets for EPA and CEQ were moved into the new Interior and Related Agencies panel which also will deal with the Interior Department, Bureau of Land Management and U.S. Geological Survey. AMSA members can check to see if their Representatives or Senators are on these important subcommittees by going to the House and Senate Appropriations Committee websites (http://appropriations.house.gov/index.cfm?FuseAction=AboutTheCommittee.MemberList&SubcommitteeId=10) and
(http://appropriations.senate.gov/subcommittees/interior/topics.cfm?code=interior).

National Biosolids Partnership Seeks AMSA Member Support
Following approval of a fiscal year (FY) 2006 budget resolution, the House and Senate Appropriations Subcommittees on Interior, Environment and Related Agencies will begin work on the U.S. Environmental Protection Agency (EPA) budget, including AMSA’s request of $1 million to fund the activities of the National Biosolids Partnership (NBP) for next year. AMSA member POTWs were asked to sign a funding request letter to Congress in early February at the AMSA Winter Conference in San Antonio, Texas. This letter was sent to the chairs and ranking members of the House and Senate Appropriations Committees and Subcommittees (http://www.amsa-cleanwater.org//getfile.cfm?fn=2005-02-18NBPApp.pdf ). The Executive Directors of AMSA and the Water Environmental Federation (WEF) also sent a joint letter to the appropriations leadership (http://www.amsa-cleanwater.org/getfile.cfm?fn=2005-01-28AMSAWEFltr.pdf).

Individual agencies that have Members of Congress on the House and Senate appropriations subcommittees have been contacted by AMSA and asked to write letters urging their Members to request that $1 million for the NBP be included in EPA’s budget for FY 2006. A copy of the Legislative Alert can be found on the AMSA website (http://www.amsa-cleanwater.org/private/leg_outreach.cfm). A sample letter that AMSA members can personalize and send to their Representative or Senator also is available from Write Congress Now, which is located on the home page of AMSA’s website (www.amsa-cleanwater.org).

Clean Water Legislation

AMSA Trust Fund Bill Nears Completion
The AMSA Clean Water Funding Task Force met via conference call March 7 to gain consensus on several remaining proposed changes to the second draft of the clean water trust fund bill. AMSA also is addressing outstanding comments and requests submitted by major stakeholder organizations from the Water Infrastructure Network (WIN) and environmental/conservation community. The final draft of the trust fund bill will be distributed to AMSA members, WIN member organizations and other stakeholder groups in early April.

Representatives of AMSA's Task Force and Frank Luntz met March 3, with Representative John J. Duncan, Jr. (R-TN), Chairman of the House Water Resources & Environment Subcommittee, to review the results of the Luntz Research Companies and Penn, Schoen & Berland Associates, Inc. national survey on public support for clean and safe water. Chairman Duncan indicated that he would schedule a hearing in May to receive testimony on the funding issue and would like Luntz to testify on the survey findings.

The survey, which was conducted at the request of the AMSA Funding Task Force, found that 86% of the public would support federal legislation that would create a long-term, sustainable and reliable trust fund for clean and safe water infrastructure (http://www.amsa-cleanwater.org/private/reg_outreach.cfm). The survey results were widely distributed to Members of Congress and legislative staff.

AMSA-Supported Sewer Overflow Grant Bill Reintroduced
Rep. Dave Camp (R-MI) has reintroduced a bill (H.R. 624) that would extend until 2011, the $1.5 billion authorization for the sewer overflow grant program that was signed into law in 2001. The original authorization for appropriations for the grants from the EPA to municipalities expired in 2003 and was never funded. The bill, which has 23 co-sponsors, would provide $250 million for each of fiscal years 2006 through 2011 to help municipalities pay for construction projects that would reduce sewer overflows. It also calls for the creation of an allocation formula based on the needs of each state for combined and sanitary sewer overflows as identified in a survey. The new formula would be used beginning in 2007. The three-page bill can be found on AMSA’s Bill Tracker (http://www.amsa-cleanwater.org/private/legreg/legupdate/leg_tracker.cfm).

Last year, AMSA 2002 – 2003 Past President Paul Pinault, Executive Director of the Narragansett Bay Commission in Providence, Rhode Island, testified on behalf of AMSA at a hearing before the House Water Resources and Environment Subcommittee on Rep. Camp’s bill (http://www.amsa-cleanwater.org/advocacy/testimony/2004-07-08pptestimony.cfm).

Senate Committee Receives Report on Wastewater Security
In 2003, Congress considered AMSA-supported legislation that would have provided funds to assess the vulnerability of wastewater facilities, make physical security improvements, and conduct research. As a result, Chairman James Inhofe (R-OK) and Ranking Member James Jeffords (I-VT) of the Senate Committee on Environment and Public Works (EPW) asked the Government Accountability Office (GAO) to identify: 1) the key security-related vulnerabilities affecting the nation’s wastewater systems, 2) specific activities the federal government should support to improve wastewater security, and 3) the criteria that should be used to determine how any federal funds are allocated among recipients to improve their security and the methods that should be used to distribute these funds. In early March, the EPW released the GAO report entitled Wastewater Facilities, Experts' Views on How Federal Funds Should be Spent to Improve Security (http://www.gao.gov/new.items/d05165.pdf).

“Congress has been asked by municipalities for assistance in meeting their wastewater security needs in this post 9-11 environment,” Senator Inhofe said. “As we continue to evaluate which sectors most need our assistance and how to spend our limited resources within those sectors, this report will provide valuable insights into where best to spend federal dollars.”
Senator Jeffords said, “This report highlights the vulnerability of our nation’s wastewater systems and recommends that we take action to protect them now. The potential damage and interruption to our wastewater treatment system is a significant risk to public health and safety.”

The report's findings benefited from the experience and expertise of AMSA members and staff who served on an expert panel. It is currently under review by the Association’s Security & Emergency Preparedness Committee. AMSA will continue to meet with Senate and House staff on wastewater security issues to define the needs of wastewater utilities and determine how Congress can assist municipalities in securing their systems.