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Clean Water Advocacy - Newsroom - AMSA in the News

AMSA CITES LUNTZ POLL TO BOOST U.S. FUNDS FOR WATER INFRASTRUCTURE

Date: February 9, 2004 -

SANTA MONICA, CA -- Faced with a host of hurdles, the Association of Metropolitan Sewerage Agencies (AMSA) is planning to use a new poll by Republican pollster Frank Luntz to boost nationwide support for a federal trust fund to finance large-scale water infrastructure projects.

The Bush administration opposes increased federal spending on water infrastructure and is seeking to shift the burden of new infrastructure financing to local authorities.

But AMSA and other water groups, along with a bipartisan group of lawmakers, are pushing legislation that would significantly increase new federal spending on water infrastructure. However, release of the poll comes as AMSA is struggling to win broad support for its effort to create a federally financed trust fund.

Wastewater and drinking water groups remain divided over how to finance any new trust fund and key Republican leaders oppose broadly supported legislative provisions that mandate prevailing wages for water projects that receive federal funds. Some Senate Republicans are now preparing to introduce legislation that would revamp the existing state revolving loan fund (SRF) program.

Luntz's poll finds that 69 percent of those surveyed believed that clean water is a national issue that requires dedicated national funding, while 25 percent of those surveyed believe clean water is a local problem. "In short, Americans believe [clean water] is a national problem that requires a national solution," Luntz noted in a January memo to the group.

The poll also says that 53 percent of those polled believed the federal government should be responsible for funding necessary infrastructure improvements, 21 percent believed local authorities should be responsible and 20 percent felt both should pay.

The poll also finds that 91 percent of the 800 people interviewed nationwide agree that if the federal government is willing to invest billions of dollars annually in highways and airways, it should be willing to invest in the nation's waterways. The poll results also show that a majority of the respondents would be more likely to vote for a member of Congress who supported a trust fund.

However, the poll also notes that many respondents believe any federal trust fund to finance water infrastructure needs to be dedicated to spending on water projects. "This money -- this dedicated national funding -- cannot simply get lost in the bureaucratic pipeline that connects Main Street to Washington, D.C. A tax for water must be spent on water," the Luntz memo says.

AMSA is planning to promote Luntz's poll, scheduled for release Feb. 9, to wastewater treatment officials, congressional staff and the media.

The poll surveyed 800 registered voters nationwide, as well as select focus groups in Los Angeles, Baltimore and Nashville.

The latest poll follows an earlier AMSA-commissioned survey by Luntz released last May that showed 70 percent of people polled would support a one percent tax increase if the money were spent on water infrastructure, while 84 percent would back legislation to create a trust fund (Water Policy Report, June 2, p15).

Luntz has won notoriety as the pollster who tested the legislative ideas behind House Republicans' 1994 Contract with America. Luntz has also faced criticism over a 2000 memo that seeks to provide Republicans with an environmental communication plan that critics charge provides a template for how the Bush administration and other Republicans promote weak environmental policies as balanced.

AMSA officials said at their winter conference here last week the new survey indicates broad national support for a trust fund to pay for infrastructure projects, despite the rift between drinking water and wastewater utility groups about how such a trust should be financed.

Drinking water groups including the American Water Works Association

(AWWA) and the Association of Metropolitan Water Agencies (AMWA) say they oppose a trust fund financed by a federal tax on water, which the groups believe would be costly to drinking water ratepayers while disproportionately benefiting wastewater customers. Instead, the drinking water group has suggested expanding the state revolving loan fund (SRF) program to finance infrastructure improvements.

AWWA sent a Jan. 26 letter to its water utility members to assure them that the group is "proactively addressing the country's water infrastructure needs," while solidifying their position against a trust fund if it is funded by a federal water tax "which is the usual method of providing capital for such a fund," the letter says. Relevant documents are available on InsideEPA.com.

The divide between drinking water and wastewater groups on how to finance a trust fund has weakened the Water Infrastructure Network (WIN) lobbying coalition, a joint coalition of wastewater and drinking water groups, which has been pressing Congress to pass legislation to fund water infrastructure improvements.

After drinking water groups threatened to leave the coalition over the tax issue, wastewater officials said they would seek to recruit new members, such as environmentalists and industry groups, to make up for any lost support. The drive for new members is also aimed at broadening the coalition's base so they can potentially gain support for the trust fund idea from a wider constituency of interest groups, which have broader political sway among voters than the wastewater and drinking water groups that currently make up WIN's base membership.

While AMSA officials considered eliminating the water tax idea to gain AWWA and AMWA support, they decided against it because they say the Luntz survey indicates there is ample support among Americans for a trust fund, even if it were financed by water or sewer rate increases.

AMSA officials say they plan to draft a bill to establish a trust fund, but do not expect such a bill to move through either chamber of Congress this year. However, having a legislative proposal on the table could "give people something to rally around," which AMSA could use in its long-term push for a trust fund, one AMSA source says.

Meanwhile, AMSA is advocating revising the SRF process as an alternate means to gain funding in the event water infrastructure funding legislation does not gain immediate congressional attention. The group sent a letter Jan. 30 to key Senate environment committee members suggesting an overhaul of the program, based on POTWs' responses to a recent survey on the SRF process. "Nearly all the POTWs who responded to a . . . recent request from AMSA to comment on the SRF program concluded that the program is dated and an overly cumbersome bureaucratic financial mechanism that includes requirements that are a relic of the clean water grants program from 20 years ago," the letter says.

AMSA included in the letter a host of recommendations from its POTW members to improve the SRF program, which include extending the term to pay back a loan from 20 years to the "term of the useful life of the project"; revising the funding formula to make it based on need; and eliminating the need for environmental review of projects to meet the EPA guideline and, instead, requiring them to meet state and local guidelines.